final board book - mississippi · 2008-06-16 · h. supplemental professional nursing staffing...

BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER

LEARNING

Final Board Book June 17-19, 2008

AGENDA BOARD OF TRUSTEES OF STATE

INSTITUTIONS OF HIGHER LEARNING UNIVERSITY OF SOUTHERN MISSISSIPPI

PRESIDENT’S CONFERENCE ROOM LUCAS ADMINISTRATION BUILDING 105 E. MEMORIAL DRIVE, ROOM #102

HATTIESBURG, MISSISSIPPI June 17-19, 2008

Tuesday, June 17, 2008

_____________________________________________________________________________________________ A. 1:00 p.m. – Budget, Finance and Audit Committee Meeting B. 2:30 p.m. – Call to Order of the Regular Board of Trustees Meeting C. Prayer – Ms. Amy Whitten D. Approval of Minutes

♦ May 21-22, 2008 Regular Board of Trustees Meeting E. Consent Agenda – Ms. Amy Whitten F. Budget, Finance & Audit – Mr. Aubrey Patterson G. Real Estate & Facilities – Mr. Scott Ross H. Governance/Legal – Mr. Bob Owens I. Administration/Policy - Dr. Thomas C. Meredith J. Commissioner’s Report - Dr. Thomas C. Meredith K. Additional Agenda Items if Necessary L. Reconsideration M. Other Business/Announcements N. Executive Session if Determined Necessary O. Adjournment

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BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING

JUNE 17-19, 2008

TABLE OF CONTENTS I. APPROVAL OF THE MINUTES

1. May 21-22, 2008 Regular Board of Trustees Meeting......................................................................1 II. *CONSENT ITEMS

A. BUDGET, FINANCE AND AUDIT Approval of Contracts 1. JSU – Sponsorship Agreement with Brown Bottling Group, Inc. ....................................37 2. UM – Fire Protection Agreement with the City of Oxford, Mississippi ..........................37 3. UM – Purchase and Installation of Scoreboard ................................................................37 4. UMMC Approval of Contracts: A. Medical Transportation Agreement with Mobile Medic Ambulance .......................38 B. Rental Agreement with Residence Inn by Marriott ...................................................38 C. Blood Services Agreement with Mississippi Blood Services ....................................38 D. Nursing Services Agreement with Triage Logic, PLLC............................................39 E. Renewal of Medicaid Eligibility Services Agreement...............................................39 F. Accounts Receivable Management Agreement with Medical Receivable Specialists (MRS) ...................................................................................................40 G. Supplemental Professional Nursing Staffing Agreement with Southern Healthcare Agency, Inc. ..........................................................................................40 H. Supplemental Professional Nursing Staffing Agreement with Prime Care Nursing, Inc.........................................................................................41 5. UMMC – Approval of Escalation of the School of Dentistry Budget ..............................41

B. REAL ESTATE AND FACILITIES

Approval of Initiations of Projects/Appointments of Professionals 1. MUW – GS 104-165, Kincannon Hall Air Handlers........................................................42 2. UM – GS 107-297, Waste Water Treatment Plant ...........................................................43 3. UM – GS 107-286 1B, Coulter Hall 1B ...........................................................................43 4. UM – IHL 207-312, Garland Hedleston, Mayes ..............................................................43 5. UM – IHL 207-313, Johnson Commons – Interiors Upgrade...........................................43 6. UMMC – IHL 209-510, Guyton Building Contract III Renovation .................................43

Approval of Budget Increases/Changes of Scopes

1. DSU – GS 102-213, Delta Music Institute .......................................................................44 2. MSU –GS 113-117, Wise Center Storm Repairs..............................................................44 3. USM – IHL 208-268, Data Center Upgrade .....................................................................45

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C. PERSONNEL Approval of Personnel Requests

1. Employment of Personnel (USM) ........................................................................................45 2. Change of Status (ASU, JSU, MUW, UM, & USM) .........................................................45 3. Sabbatical Leave (DSU, JSU, MSU, & UMMC) .................................................................47 4. Tenure Status (USM) ...........................................................................................................48

*Without objection, these items will not be discussed (unless there are questions) and will stand approved as presented.

III. APPROVAL & INFORMATION ITEMS

A. BUDGET, FINANCE AND AUDIT

1. UM – Approval of Resolution Authorizing the Issuance of Bonds ..................................49 2. System Administration – Approval of Tuition Increases for FY 2009 .............................49 3. System Administration – Approval of Room and Board Increases for FY 2009..............49 4. System Administration – Approval of Fiscal Year 2008-2009 Operating Budgets ..........50 5. System Administration – Approval of Fiscal Year 2010 Proposed Funding Priorities.....50 6. System Administration – Approval of Contract for Automobile Liability Coverage .......50 7. USM – Approval of Resolution Authorizing the Issuance of Bonds................................51

B. REAL ESTATE & FACILITIES

Approval of Other Real Estate and Facilities Requests 1 MSU – Lease Agreement with East Mississippi Center for Educational Development, Inc.................................................................................52 2. MSU – John W. Starr Memorial Forest Timber Sales ......................................................52 3. UM – Lease Agreement with the UMAA Foundation......................................................53 4. USM – Purchase of Property Located at 502 North 35th Avenue in Hattiesburg..............54 5. System Administration – Real Estate and Facilities Items Subsequent to the May 21-22, 2008 Board Meeting by Mr. Scott Ross as Chair of the Real Estate and Facilities Committee (Information Item) ......................................................................54 6. System Administration – Real Estate and Facilities Items Subsequent to the May 21-22, 2008 Board Meeting (Information Item) ...................................................54

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C. GOVERNANCE/LEGAL 1. UMMC – Approval of Settle Tort Claim No. 1263..........................................................57

2. UMMC – Approval of Settle Tort Claim No. 1217..........................................................57 3. USM – Approval to Settle A Workers’ Compensation Case ............................................57 4. System Administration – Approval of Inter-Agency Agreement Between the Board and the Office of the Attorney General .........................................................................57 5. System Administration – Approval for First Reading of Proposed Amendments to Board Policy 301.0806 University Foundation/Affiliated Entity Activities .................63 6. System Administration – Approval of Amendment to the June 20, 2007 Board Minutes...............................................................................................................68 7. UM – Approval of Affiliation Agreement ........................................................................68

D. ADMINISTRATION/POLICY

1. System Administration - Approval Of The Consultant Firm For Mississippi Valley State University’s Presidential Search...............................................................88 2. System Administration – Individuals to Serve on the Mississippi University Research Authority (MURA) in Accordance with the Mississippi University Research Authority Act and the MURA By-Laws (Information Item) .........................88

MINUTES OF THE BOARD OF TRUSTEES OF STATE

INSTITUTIONS OF HIGHER LEARNING

May 21-22, 2008

Regular Board of Trustees Meeting

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MINUTES OF THE BOARD OF TRUSTEES OFSTATE INSTITUTIONS OF HIGHER LEARNING

May 21-22, 2008

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BE IT REMEMBERED, That the Board of Trustees of State Institutions of Higher Learning of the State ofMississippi met in a regular session at the Board Office in Jackson, Mississippi, at 8:30 a.m., and pursuant tonotice in writing mailed by certified letter with return receipt requested on November 27, 2007, to each andevery member of said Board, said date being at least five days prior to this May 21-22, 2008 meeting. At theabove-named place there were present the following members to wit: Mr. H. Ed Blakeslee, Dr. Stacy Davidson,Mr. Bob Owens, Mr. Aubrey B. Patterson, Ms. Christy Pickering, Ms. Robin J. Robinson, Mr. Scott Ross, Dr.Douglas Rouse, Mr. C.D. Smith and Ms. Amy Whitten. Dr. Bettye Henderson Neely AND Mr. Alan Perry wereabsent. The meeting was called to order by Ms. Amy Whitten, President, and opened with prayer by Mr. ScottRoss.

ANNOUNCEMENT

Ms. Whitten welcomed the new Board members: Ms. Christy Pickering, Dr. Douglas Rouse and Mr. C.D.Smith. Ms. Whitten noted that Mr. Alan Perry was out of the country and had not taken his oath of office yet.

APPROVAL OF THE MINUTES

On motion by Ms. Robinson, seconded by Mr. Patterson, with Dr. Davidson, Dr. Neely and Mr. Perry absentand not voting, it was

RESOLVED, That the Minutes of the Board meeting held on April 16, 2008, stand approved.

CONSENT AGENDA

On motion by Ms. Robinson, seconded by Mr. Blakeslee, with Dr. Davidson, Dr. Neely and Mr. Perry absentand not voting, it was

RESOLVED, That the Board hereby approved the following Consent Agenda.

BUDGET, FINANCE AND AUDIT

1. UMMC - Approved the request to enter into a five-year agreement with Eclipsys Corporation topurchase licenses and support services associated with the implementation and maintenance of SunriseDecision Support Software. The technology offered provides state of the art cost accounting anddecision support capabilities via a database consisting of financial and clinical data; and provides accessto the data through both dashboards and numerous reporting capabilities. The agreement is for theperiod May 23, 2008 through May 22, 2013. Year 1 cost: $305,305; Year 2 cost: 804,621; Year 3 cost:$124,751; Year 4 cost: $130,988; and Year 5 cost: $137,537. The total cost for the implementationservices, consultant travel, licensing fees, and support service for the agreement period is $1,503,202.The agreement will be funded by patient revenue. A copy of this agreement which has been reviewedand approved by the Attorney General’s Office is included in the May 21-22, 2008 Board Working File.

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2. UMMC - Approved the request to enter into a five-year contract with MedQuist Transcriptions, LTDfor full service medical transcription services for Health Information Services at UMMC. The initialagreement is for a three-year period and shall automatically renew for an additional two years. Thecontract period is July 1, 2008 to June 30, 2013. Pricing is based on a per character basis (172,851,972estimated characters annually) with an approximate annual cost of $840,000 for a total contract cost of$4,200,000. The contract will be funded by patient revenue. A copy of this agreement which has beenreviewed and approved by the Attorney General’s Office is included in the May 21-22, 2008 BoardWorking File.

3. UMMC - Approved the request to allocate additional funds to its contract with Sodexo Operations, LLCfor housekeeping and environmental services for Lexington Hospital and for the Durant Nursing Home.The original three-year contract for the period April 1, 2007 to March 31, 2010 was approved by theBoard on March 14, 2007; however, the $419,788.20 approved for funding was for the first year only. UMMC is requesting approval to allocate funding for the remaining two-years of the contract period:year 2: $444,975.42 and year 3: $471,674. This incorporates a 6% annual increase and Consumer PriceIndex increase for supplies as per the contract. The total cost for the three-year contract is$1,336,437.62. The contract will be funded by patient revenue. A copy of this agreement which hasbeen reviewed and approved by the Attorney General’s Office is included in the May 21-22, 2008 BoardWorking File.

4. System Administration - Approved the guidelines for the administration of the Student Advisory BoardScholarship (SABS). The advisory board was created to provide the students a voice in the developmentof strategies to address the State’s current education issues. Representation from different high schools,grade levels and school districts will serve in this advisory capacity to the State Superintendent ofEducation. The scholarship is awarded to those students who serve on the board in recognition of theirservice and will be funded via institutional funds. A copy of the guidelines which have been reviewedand approved by the Attorney General’s Office is included in the bound May 21-22, 2008 BoardWorking File.

5. UM - Approved the university’s request to revise its Patent and Invention Policy. This revised versionsupersedes the April 6, 2005 version. A copy of the new policy which has been reviewed and approvedby the Attorney General’s Office is included in the May 21-22, 2008 Board Working File.

6. UM (Information item.) - The University of Mississippi wishes to inform the Board, it recentlyadvertised for proposals for the purchase of a new, fully installed video scoreboard to replace the currentvideo scoreboard that was installed at Vaught-Hemingway football stadium in 1997. The universitywishes to inform the Board of this purchase because of the substantial cost; the university anticipatesthe installed price of the video equipment may be in excess of five million dollars. To finance thepurchase, the university anticipates amending its current Sports Marketing, Promotions, and Multi-Media Rights Agreement with Telesouth Communications, Inc., assigning advertising rights for the newvideo board in exchange for a substantial increase in the annual rights fee paid to the university.

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REAL ESTATE AND FACILITIES

7. UM - Approved the award of a contract in the amount of $283,715 to Conditioned Air, Inc. of Tupelo,MS, the lower of three (3) bidders, for IHL 207-310, Stockard Hall AHU-4 Replacement. Alsoapproved an increase in the budget from $285,000 to $330,000 for an increase in the amount of $45,000.The increase is requested due to the bids received. Funds are available from self-generated sources.

8. DSU - Approved an increase in the budget from $5,000,000 to $5,250,000 for an increase in the amountof $250,000 for GS 102-195, Coahoma County Higher Education. Also, approved a transfer of fundsin the amount of $250,000 from GS 102-199, Central Mechanical Plant to GS 102-195, CoahomaCounty Higher Education Center. This budget increase is necessary to cover Change Order #4 in theamount of $225,509.

9. UM - Approved an increase in the budget from $700,000 to $900,000 for an increase of $200,000 forIHL 207-280, Golf Course Clubhouse. This increase is needed as per the updated estimate during theSchematic Design Phase issued by Shafer & Associates, design professionals of Starkville, MS. Fundsare available from self-generated sources.

10. UM - Approved an increase in the budget from $300,000 to $500,000 for an increase of $200,000 forIHL 207-293, Honors College Renovations. This increase is needed as per the updated estimate duringthe Schematic Design Phase issued by McCarty Company, design professionals, of Tupelo, MS. Fundsare available from self-generated sources.

PERSONNEL REPORT

CHANGE OF STATUS

Jackson State UniversityChanay, Marcus A.

Mississippi State University - AthleticsSylvester Croom, Head Football Coach; from$215,000 per annum, pro rata; Auxiliary Funds;December 1, 2005 to November 30, 2009 contractperiod: to $250,000 per annum, pro rata;Auxiliary Funds; June 1, 2008 to May 31, 2012contract period.

Mississippi State UniversityButler, Gary D.Rajala, Sarah A.

University of Mississippi - AthleticsJames T. Boone, Director of IntercollegiateAthletics; $321,000 per annum, pro rata; Auxiliary

Funds; July 1, 2005 to June 30, 2009 contractperiod; to July 1, 2008 to June 30, 2012 contractperiod.

Andrew J. Kennedy, Head Men’s Basketball Coach;$150,000 per annum, pro rata; Auxiliary Funds;from April 1, 2006 to March 31, 2010 contractperiod; to April 1, 2008 to March 31, 2012 contractperiod.

SABBATICAL LEAVE

Jackson State UniversityBlaine, III, Robert J.

AWARD OF TENURE

Alcorn State UniversityBunch, CecileShugars, Murray

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Smith, Lola

Delta State UniversityBingham, VickiBonta, MarkCheeseman, AndreaDenson, ChadFalkner, JeannieGreen, John

Jackson State UniversityDaniels, PatsyGranger, MauryHenderson, MarkHill, CecilLi, YadongLiang, XuejunManeck, SusanMorgan, Etta FayeMumford, JimmyPerkins, SamuelPorter, DionShahbazyan, TigranThiagarajan, PalaniappanWindfield, Glenda

Mississippi State UniversityBrocato, Donna K.Buchanan, Robert J.Campbell, Randall C.Chakrabarty, SubhraClay, R. TorstenDu, JianxiaGoodman, DougGwaltney, Steven R.Hardin, James W.Kellermanns, Franz W.Kim, Seong-GonKim, SeongjaiMago, Pedro J.Mingzhou, JinNicodemus, Molly C.Peng, ZhaohuaPeterson, Daniel G.Rezek, Jon P.

Runnells, JamieSchilling, WesSwindell, Marian L.Templeton, GaryThomas, MelanieTopsakal, ErdemWest, RobertWyatt, John E.

Mississippi University for WomenJolly, SueWard, JamesDennis, PatriciaDickey, Shawn

Mississippi Valley State UniversityCurry, Vickie E.Daniels, GordonEaley, BerthaMisoc, FlorianOsborne, MamieNewsome, BarbaraRajanikanth, NaraseeyappaRoberts, Jeanette

University of MississippiAdcock, Kim GriffinAl-Ostaz, AhmedAmmeter, Anthony PaulBalach, Nancy MariaBarlow, Angela TillBullard, Mercer E.Cao, LeiDupont, Nancy McKenzieEmanuel, Deborah M.Ford-Wade, Mary AllisonGoulet, TamarGuo, GangHartman, Kim JeaneHerrera, David K.Heyworth, Gregory G.Johnson, Gregory A.Jones, Bradley W.Klodt, Jason E.Lambert, Laurel Greenway

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Mallory, Stephen LeeMatalgah, Mustafa MuhammadMathur, Sunil KumarO’Sullivan, III, Daniel EdmundReed, David HowardSchultz, Bradley E.Secunda, Paul M.Shaw, J. RileySpruill, David A.

University of Mississippi Medical CenterBailey, JessicaBuchanan, WilliamCampbell, DougEriator, IkeHamadain, ElgenaidHaynie, LisaHebert, MichaelHorne, SandraLiu, AiminNorquist, Grayson S.Payne, Thomas JohnPhillips, WilliamPitman, Karen TracySchmieg, Robert E.Schweinfurth, John MarkSerio, CherylStewart, Jimmy L.Wysocki, AnnetteZhu, Hong

University of Southern MississippiAnnulis, HeatherArnau, RandolphCarlan, Philip

Carr, RobinChen, Kuo LaneDrane, DanElasri, MohamedGriffith, JerryKyle, MaryannLowe, AndrewMoak, ElizabethMorgan, SarahMurali, BeddhuQualls, CarlRackoff, LouisShelley, KynaSulbaran, TulioWinstead, ChristopherZhang, Chaoyang

TERMINATIONS

Mississippi Valley State University - AthleticsJames Green, Head Men’s Basketball Coach,effective April 28, 2008, resignation prior tocontract end date of June 30, 2008.

George Ivory, Assistant Men’s Basketball Coach,effective March 31, 2008, resignation prior tocontract end date of June 30, 2008.

Mississippi Valley State UniversityJohnson, Tonjanita

EMERITA/EMERITUS STATUS

System AdministrationSrinivasan, Seetha

ANNOUNCEMENT

Ms. Whitten welcomed Braxton Coombs, President of the Student Body Association at Mississippi StateUniversity, and Melissa Cirino, President of the Student Government Association at the University of SouthernMississippi and President of the Mississippi Student Body Presidents’ Council.

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PRESENTATION

Dr. Cecil Burge, Vice President of Research and Economic Development at the University of SouthernMississippi, gave a presentation on economic development and research in Mississippi.

EDUCATIONAL POLICIES & PROGRAMS AGENDAPresented by Dr. Bettye Neely, Chair

1. System Administration (Information item.) - a. Mississippi State University plans to offer the Master of Science in Computer Engineering (CIP

14.0901) in an online format. Previously, in addition to the on-campus program, this programhas been offered by video to meet the needs of working professionals. The change in formatfrom video to online should increase student access and efficiency. No other institution has agraduate degree in computer engineering.

b. Mississippi State University plans to offer the Master of Science in Electrical Engineering (CIP14.1001) in an online format. Previously, in addition to the on-campus program, this programhas been offered by video to meet the needs of working professionals. The change in formatfrom video to online should increase student access and efficiency. No other institution has agraduate degree in electrical engineering.

c. Mississippi State University is offering the Doctor of Philosophy in Computer Engineering(CIP 14.0901) in an online format. Previously, in addition to the on-campus program, thisprogram has been offered by video to meet the needs of working professionals. The change informat from video to online should increase student access and efficiency. No other institutionhas a graduate degree in computer engineering.

d. Mississippi State University is offering the Doctor of Philosophy in Electrical Engineering(CIP 14.1001) in an online format. Previously, in addition to the on-campus program, thisprogram has been offered by video to meet the needs of working professionals. The change informat from video to online should increase student access and efficiency. No other institutionhas a graduate degree in electrical engineering.

BUDGET, FINANCE & AUDIT AGENDAPresented by Mr. Aubrey Patterson, Chair

AGENDA ITEM #2 WAS APPROVED AS SHOWN BELOW. On motion by Ms. Pickering, seconded byMr. Blakeslee, with Dr. Davidson, Dr. Neely and Mr. Perry absent and not voting, it was

RESOLVED, That the Board hereby approved agenda item #3 as submitted on the following Budget,Finance & Audit Agenda. Agenda item #4 was approved on a separate motion by Mr. Blakeslee,seconded by Mr. Owens,with Dr. Davidson, Dr. Neely and Mr. Perry absent and not voting. AGENDAITEM #5 WAS PULLED FROM THE AGENDA. Agenda item #6 was approved on a separatemotion by Mr. Patterson, seconded by Mr. Blakeslee, with Dr. Neely and Mr. Perry absent and notvoting. AGENDA ITEMS #7 & #8 WERE APPROVED AS SHOWN BELOW. Agenda item #9

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was approved on a separate motion by Mr. Patterson, seconded by Dr. Davidson, with Dr. Neely andMr. Perry absent and not voting. AGENDA ITEM #10 WAS POSTPONED AS SHOWN BELOW.

1. Other Business - Dr. Linda McFall, IHL Assistant Commissioner for Finance and Administration,welcomed the new Board members and thanked her staff–Cheryl Mowdy, Chris Halliwell and JohnPearce–for assisting her with preparing for the Board meeting.

2. ASU - Request to enter into a 10 year contract with Sodexho Operations, LLC to manage and operatefood services for ASU. Food service includes the resident dining program, retail sales, and catering.ASU’s current food service operation is managed by Thompson Food Ventures, LLC (Campus Chefs)and consequently, the food service workers are not employees of ASU. The current workers will beprovided the opportunity to become employees of Sodexho via a minimum six-month probationaryperiod. Four different meal plans will be offered. ASU guarantees 1,250 resident meal plans each fullsemester. Basic meal plan cost is $7.70 for a minimum of 226 days annually. The annual minimumcontract cost (1,250 resident students X 226 days @ $7.70) will be $2,175,250. The contract includesallowance for an annual minimum adjustment as per the Consumer Price Index with an estimatedincrease between 3% and 6%. ASU will provide $200,000 in working capital annually along withproviding the premises, maintenance, and small wares. Sodexho’s investment for the 10 year contractperiod will approximate $2.8 million. Sodexho will pay ASU 10% of net sales on non-resident typesales. The contract will begin on or about May 26, 2008 through May 25, 2018. A copy of thisagreement which has been reviewed and approved by the Attorney General’s Office is included in theMay 21-22, 2008 Board Working File.

On motion by Mr. Blakeslee, seconded by Mr. Owens, with Dr. Davidson, Dr. Neely and Mr. Perry absent andnot voting, the Board approved ASU’s request to enter into a ten-year contract with Sodexho Operations, LLCsubject to the university’s ability to negotiate an amendment to the early termination clause which would readas follows: “if the contract is terminated for cause then the prorated share of the initial investment of $500,000would not have to be paid back to Sodexho.”

3. UM - Approved the request to authorize the University of Mississippi Educational Building Corporation(UMEBC) to engage bond counsel and underwriters for the upcoming separate bond issues for theResidential College and Law School construction projects. The Board authorized initiation of the bondprocess for these projects at the March 20, 2008 meeting. UMEBC, with UM’s concurrence, requestsapproval to retain Butler, Snow, O’Mara, Stevens, and Cannada, PLLC to service as bond counsel andto engage an underwriting syndicate methodology for the bond issues, with Morgan Keegan serving asthe syndicate’s senior manager.

4. UMMC - Approved the request to enter into a service agreement with NearTerm Corporation. Thepurpose of the agreement is to provide interim management services to assist in fast tracking UMMC’srevenue cycle operations, developing a financial counseling system, streamlining the medical recordsdepartment, and improving efficiencies within the coding department. These interim positions willsupplement the contract with Computer Science Corporation (CSC) and will not impact the marginimprovement plan or the estimated cost for the CSC contract. The contract period is May 24, 2008through May 23, 2009 and the total cost is $1,131,000, inclusive of all fees and expenses. A copy of

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this agreement which has been reviewed and approved by the Attorney General’s Office is included inthe May 21-22, 2008 Board Working File.

5. USM - Request approval to issue revenue bonds not to exceed $50 million to finance the constructionof a 900-bed housing project on the Hattiesburg campus. Additionally, USM requests approval to nameHarris, Jernigan and Geno, PLLC as Bond Counsel. This firm was selected via a competitive bidprocess. USM expects the building will be operational by FY 2010. This request is part of the Phase1 Dormitory Replacement Project in USM’s master plan. USM selected Carl Nicholson and Companyas its financial advisor. The university anticipates structuring debt repayment based on availablerevenues generated from the project. The result is payment of little or no principal in early years andlarge principal payments due in the last 15 years of the project. According to pro-forma debt coverageratios provided by the university and Nicholson and Company, the university expects a university-widedebt coverage ratio of 2.06 in FY 2009, decreasing to 1.71 in FY 2010, and 1.69 in FY 2013.

Mr. Patterson noted that the Budget, Finance and Audit Committee has not had time to vet the numbers for thisbond issuance. Therefore, he appointed a subcommittee with Mr. Blakeslee as chair and Ms. Pickering as amember to work with Carl Nicholson and Company and the Board staff to refine the numbers, if necessary, andvalidate them, if possible.

A motion was made by Ms. Robinson, seconded by Mr. Ross, to approve USM’s request to issue revenue bondsnot to exceed $50 million to finance the construction of a 900-bed housing project on the Hattiesburg campus.Ms. Robinson withdrew her motion. (THIS ITEM WAS PULLED FROM THE AGENDA.)

6. System Administration - Approved the allocation of FY 2009 state appropriations for Education andGeneral funding to the institutions. (See Exhibit 1.) In April the Board approved the recommendationto re-balance the state appropriations over the next six years using the Sum of the Years in Reversemethodology with a ½ year rolling calculation. This allocation is based upon that adopted method. Inaddition, one million dollars was taken from the overall allocation to pay for the system audit for FY2008.

7. System Administration - Request to increase tuition rates effective with the Fall 2008 academic term.Per Board Policy 702.04 (C) Consideration of Requests, requests for tuition increases shall not beconsidered until at least thirty days after they have been submitted to provide an opportunity for reviewby the Board and the Commissioner.

On motion by Mr. Patterson, seconded by Mr. Ross, with Dr. Neely and Mr. Perry absent and not voting, theBoard approved the proposed resident tuition increases for each institution effective with the Fall 2008 academicterm, pursuant to Board Policy 702.04 (C) Consideration of Requests which allows for a 30-day period ofreview and comment before final action is taken. (See Exhibit 2.)

On motion by Mr. Patterson, seconded by Mr. Blakeslee, with Dr. Neely and Mr. Perry absent and not voting,the Board approved the proposed non-resident tuition increases for each institution effective with the Fall 2008academic term, pursuant to Board Policy 702.04 (C) Consideration of Requests which allows for a 30-dayperiod of review and comment before final action is taken. (See Exhibit 3.)

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On motion by Mr. Patterson, seconded by Ms. Pickering, with Dr. Neely and Mr. Perry absent and not voting,the Board approved the proposed resident and non-resident tuition increases for the professional schools at theUniversity of Mississippi and the University of Mississippi Medical Center effective with the Fall 2008academic term, pursuant to Board Policy 702.04 (C) Consideration of Requests which allows for a 30-dayperiod of review and comment before final action is taken. (See Exhibits 4 & 5.)

8. System Administration - Request to increase room and board rates effective with the Fall 2008academic term. Per Board Policy 702.04 (C) Consideration of Requests, requests for room and boardrate increases shall not be considered until at least thirty days after they have been submitted to providean opportunity for review by the Board and the Commissioner.

On motion by Mr. Patterson, seconded by Ms. Pickering, with Dr. Neely and Mr. Perry absent and not voting,the Board approved the proposed room rate increases effective with the Fall 2008 academic term, pursuant toBoard Policy 702.04 (C) Consideration of Requests which allows for a 30-day period of review and commentbefore final action is taken. (See Exhibit 6.)

A motion was made by Mr. Patterson, seconded by Mr. Blakeslee, to approve the proposed board rateincreases effective with the Fall 2008 academic term, pursuant to Board Policy 702.04 (C) Considerationof Requests which allows for a 30-day period of review and comment before final action is taken. Themotion passed on a 9 to 1 vote, with Dr. Neely and Mr. Perry absent and not voting. Board members votingfor the motion were: Mr. Ed Blakeslee, Dr. Stacy Davidson, Mr. Bob Owens, Mr. Aubrey Patterson, Ms. ChristyPickering, Ms. Robin Robinson, Dr. Douglas Rouse, Mr. C. D. Smith and Ms. Amy Whitten. Mr. Ross votedagainst the motion. (See Exhibit 7.)

9. System Administration - Approved the Salary Guidelines for FY 2009, as follows:It is recommended to the Board that any state funds used for FY 2009 salary increases be awarded basedon one or more of the following: meritorious performance, market or equity adjustments, or for thoseemployees paid $25,000 or less, a cost of living increase. If the financial condition of the institution oragency permits, it is recommended to allow the agency or institutions to use other funds that may beavailable to award salary increases for one or more of the following: meritorious performance, marketor equity adjustments, or cost of living increases for employees paid $25,000 or less, at the discretionof the Commissioner (for the Executive Office) or the Institutional Executive Officer (for the campuses).

For any and all salary increases below three percent (3%) and above (7%), a written justification mustbe on file in the Board Office in a format and due date prescribed by the Commissioner. These salaryincrease guidelines will apply to all university employees regardless of funding source or types ofincreases awarded.

10. System Administration - Allocation for Athletics.In accordance to Board Policy 704.01 Athletic Revenue and Expenditures, each institution is authorizedto expend a maximum amount of $175 per student FTE from unrestricted Education and General fundson a per semester basis. The allocation is to be reviewed and automatically indexed to the ConsumerPrice Index (CPI) every three years beginning after FY 2005. Request to index the maximum amountper student FTE per semester for each institution to $192 as per the CPI beginning summer semester2008.

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On motion by Mr. Patterson, seconded by Mr. Owens, with Dr. Neely and Mr. Perry absent and not voting, theBoard suspended Policy 704.01 Athletic Revenue and Expenditures which requires the automatic index of theathletics allocation to the CPI and postponed the review and indexing of the allocation for one year.

11. Other Business - Ms. Whitten commended Mr. Patterson and his committee for the well-organizeddiscussion of these difficult decisions. She also commended Dr. McFall, her staff, and the InstitutionalExecutive Officers. Mr. Patterson concurred with Ms. Whitten’s commendation to the Board staff andthe IEOs.

REAL ESTATE & FACILITIESCOMMITTEE REPORT

Wednesday, May 21, 2008

The Committee was brought to order by Chairman Scott Ross. The following items were discussed/voted upon:1. Other Business

a. Mr. Ross introduced Mr. Johnny Franklin, the Governor’s Education Policy Advisor. b. Dr. Andy Mullins, Executive Assistant to the Chancellor at The University of Mississippi,

introduced Dr. Tim Letzring and his advanced public policy in higher education class from OleMiss. Every year Dr. Letzring’s class attends one of the Board meetings to observe the Boardat work.

2. On motion by Mr. Blakeslee, seconded by Dr. Davidson, the Committee recommended that the Boardapprove the FY 2010 Facilities Needs Request which is agenda item #18 on the Real Estate & FacilitiesAgenda including the amended money amounts.

Committee members attending the meeting were: Mr. Scott Ross (Chair), Mr. Ed Blakeslee, Dr. StacyDavidson, Dr. Douglas Rouse and Mr. C.D. Smith. Other Board members attending the meeting were: Mr.Aubrey Patterson, and Ms. Amy Whitten.

REAL ESTATE & FACILITIES AGENDAThursday, May 22, 2008

Presented by Mr. Scott Ross, Chair

On motion by Mr. Ross, seconded by Dr. Davidson, with Dr. Neely and Mr. Perry absent and not voting, it was

RESOLVED, That the Board hereby approved agenda items #1 - #7 as submitted on the following RealEstate & Facilities Agenda. Agenda item #8 was approved on a separate motion by Mr. Ross, secondedby Ms. Robinson, with Dr. Neely and Mr. Perry absent and not voting. Agenda items #9 - #10 wereapproved on a separate motion by Mr. Ross, seconded by Dr. Davidson, with Dr. Neely and Mr. Perryabsent and not voting. Agenda items #11 - #15 were approved on a separate motion by Mr. Ross,seconded by Ms. Robinson, with Dr. Neely and Mr. Perry absent and not voting. Agenda item #16 wasapproved on a separate motion by Mr. Ross, seconded by Ms. Robinson, with Dr. Neely and Mr. Perryabsent and not voting. Agenda item #17 was approved on a separate motion by Mr. Ross, seconded byDr. Davidson, with Dr. Neely and Mr. Perry absent and not voting. Agenda item #18 was approved ona separate motion by Mr. Ross, seconded by Mr. Blakeslee, with Dr. Neely and Mr. Perry absent andnot voting.

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1. JSU - Approved the initiation of IHL 203-148, Bioengineering Training/Research Complex, torenovate/construct a Bioengineering Training/Research complex in the basement of Just Science Hall.The basement area consists of 18,700 square feet and will provide dedicated research and trainingcomputer lab space, faculty, student, post-doctoral office space, HVAC systems, furniture and researchtraining equipment. The total project budget is $1,913,000. Funds are available from a U.S. Departmentof Energy grant.

2. MSU - Approved the initiation of IHL 205-236, YMCA Building Renovation, for preplanning theproject through schematic design. Also, approved the appointment of Belinda Stewart as projectprofessional for the preplanning. Interviews were held on campus, and four firms were interviewed.The project will become a Bureau of Building project once preplanning and funding is obtained throughthe State. The total project budget is $9,399,197. Funds for the preplanning are available in the amountof $75,000 from self-generated university sources.

3. MSU - Approved the initiation of IHL 205-238, Civil and Environmental Engineering Complex, forpreplanning the project through design development. Also, approved the appointment of Dale andAssociates as the project professionals for the preplanning project. Interviews were held on campus,and five firms were interviewed. The total project budget is $27,617,469. Funds are available fromprivate sources through the university in the amount of $13,617,469. Additional funding in the amountof $14,000,000 will be requested from state funding.

4. UM - Approved the appointment of Cooke Douglas Farr Lemons, LTD of Jackson, MS and Howorthand Associates of Oxford, MS for a joint venture as the design professionals for IHL 207-303,Research Park – Infrastructure and Initial Building Design, located on the north side of Highway6. The total project budget is $9,600,000. Funds are available from a Department of Commerce grant,a HUD Grant through the City of Oxford, and a Small Business Association grant.

5. UM - Approved the initiation of IHL 207-311, New Building for School of Pharmacy, to be locatedat the campus of University of Mississippi Medical Center. Permission is also requested to proceed withthe interview process for the selection of the design professional. The total project budget is $6,000,000.Funds are available from self-generated sources.

6. UMMC - Approved the initiation of IHL 209-509, O.R. Endovascular Suite Renovations, and theappointment of Simmons Associates Architects as project professionals. The total project budget is$641,000. Funds are available from self-generated sources.

7. USM - Approved the initiation of GS 108-252, Fraternity House Sprinkler System, to install sprinklersystems in eleven (11) fraternity houses on the Hattiesburg campus with an estimated project budget of$900,000. Permission is also requested to appoint Eldridge & Associates of Clinton, MS as the designengineer. Funds are available from HB 1641, Laws of 2008 and R&R Funds.

8. MSU - Approved the request by the Mississippi State University Division of Agriculture, Forestry andVeterinary Medicine to award of a contract in the amount of $1,264,179 (base bid and Alternate #1) withan increase in budget from $990,000 to $1,445,000, an increase of $455,000, to Jackson Construction,Inc. of Grenada, MS, the lower of seven (7) bidders, for IHL 213-136, Building 1533 R&R, Stoneville,

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MS. This project is for waterproofing issues on the exterior of the building, major areas includingwindows, brick and roofing. The total project budget is $1,445,000. Funds are available from universitysources.

9. ASU - Approved an increase in the budget for GS 101-255, Fine Arts Renovation, from $6,850,000to $7,650,000 for an increase in the amount of $800,000. This budget increase is necessary to coverdemolition and reconstruction of the building’s brick envelope. Funds are available from the university’sAyers Facility account.

10. UM - Approved an increase in the budget for IHL 207-279, Interior of Old Chemistry, from$3,400,000 to $4,500,000 for an increase of $1,100,000. This increase is needed as per the updatedestimate during the Schematic Design Phase issued by McCarty Company, design professionals ofTupelo, MS. Funds are available from self-generated sources.

11. ASU - Approved the request to advertise for Request for Proposals (RFP) under the alternate dual phasedesign-build process for constructing student housing on university property. The private developmentmethod will provide the university a savings in time and cost over the traditional design, bid, buildprocess. This size and type of the project is suitable for design build. The university also seeksapproval of Dale & Associates as the design professional to assist in developing the RFP. Advertisingand planning expenses will be paid from university funds. The proposed student housing project willbe funded by private financing.

12. MSU - Approved the request by the Mississippi State University Division of Agriculture, Forestry andVeterinary Medicine to purchase approximately 0.672 acres in Rankin County, Mississippi. Theproperty is purchased as a site for a future veterinary referral speciality hospital for teaching clinicaloperations in the Jackson metropolitan area. Two property appraisals, the Environmental Report andthe property description are on file with the Office of Real Estate and Facilities. Funds are availablefrom the Mississippi State University College of Veterinary Medicine in the amount of $252,500. Thisitem has been reviewed and approved by the Attorney General’s Office.

13. MVSU - Approved the exterior design for the repairs made to the Administration Building. Funds areavailable from HB 246, Laws of 2007. A copy of the rendering is included in the bound May 21-22,2008 Board Working File.

14. UM - Approved the request to quitclaim deed approximately ten (10) acres of real property in GeorgeCounty, Mississippi to Dennis Whittington. The agreed purchase price is $33,725 which exceeds theaverage of two (2) appraisals ($34,000 and $32,500). This property has no other use or value to theuniversity. This item has been reviewed and approved by the Attorney General’s Office.

15. UM - Approved the exterior design of the new School of Law. A copy of the rendering is included inthe bound May 21-22, 2008 Board Working File.

16. UMMC - Approved the request to purchase a building located at 764 Lakeland Drive, Jackson,Mississippi for a clinical/teaching facility. The property consists of 1.712 acres and a four-story officebuilding completed in 1989 and designed for medical offices. The building has approximately 51,350

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square feet with a net rentable area of 48,553 square feet. There is a two-story, approximately 85,000square foot, parking garage and asphalt paved parking area with a total of 210 parking spaces. Theproperty currently has 31,606 square feet rented or under lease at a range of $17.51 - $20.45 per squarefoot per year. The Medical Center requests permission to maintain leases with existing tenants. Theplanned use of the building is for a clinical/teaching facility. The two appraisals on this property werefor $3,500,000 and $3,750,000. The proposed purchase price is $3,600,000. The two property appraisalsand the environmental report are on file in the Office of Real Estate and Facilities. Funds are availablefrom SB 2010, Laws of 2004, in the amount of $3,500,000 and from interest income in the amount of$100,000. This item has been reviewed and approved by the Attorney General’s Office.

17. System Administration - During the 2007 Legislative Session, three million dollars were appropriatedin HB 246 for use on the campuses for emergencies and repairs. The Board approved the request todisperse $2,350,000 from this discretionary fund amongst the institutions and Board Office. (SeeExhibit 8.) Approximately $300,000 was approved by the Board of Trustees at the February, 2008meeting for the repair of sewer lines at the Delta State University cafeteria. This leaves $350,000 forany unforeseen emergencies. Each institution will be required to report exactly how the money wasused.

18. System Administration - Approved the FY 2010 Facilities Needs Request for the 2009 LegislativeSession as recommended by the Real Estate and Facilities Committee. (See Exhibit 9.)

19. System Administration (Information item.) - The Board received the following Real Estate &Facilities items that were approved by Mr. Scott Ross as chair of the Real Estate and FacilitiesCommittee subsequent to the April 16, 2008 Board meeting in accordance with Board Policy 904(B)Board Approval. a. MSU - Chairman Ross approved a lease between Alpha Gamma Delta Fraternity, a non-profit

organization (hereinafter referred to as Lessor) and Mississippi State University (hereinafterreferred to as Lessee). The land, structure and all of its improvements (the demised premises)located on Lot #10, Sorority Hill Subdivision, Mississippi State University, Oktibbeha County,MS, as shown on Plat filed 2/2/84, and recorded in Plat Book 4, Page 45 of the public landrecords of Oktibbeha County, MS. The primary term of this Lease shall be for twelve (12)months, commencing at 12:01 a.m. on May 1, 2008, and ending at 12:00 midnight on April 30,2009. This lease may be executed beyond the stated expiration date of the original term on amonth-to-month basis, but such an extension(s) may not exceed an additional thirty-six (36)months in duration. Lessee shall have, hold and use the demised property for the purposes ofoffice and research use only.

b. UM - Chairman Ross approved the award of a contract for GS #107-286, Coulter HallRenovations, to Upchurch Plumbing, Inc. of Greenwood, MS, the lower of three (3) bidders,in the amount of base bid $4,650,000 plus Alternate #1 - $145,000 and Alternate #2 - $3,000,for a total contract amount of $4,798,000. The university also requests permission to increasethe budget from $4,308,338 to $5,600,000 for an increase of $1,291,662. Funds are availablefrom HB 1634, Laws of 2006 and self-generated university sources.

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20. System Administration (Information item.) - The Board received the Real Estate & Facilities itemsthat were approved by the Board staff subsequent to the April 16, 2008 Board meeting in accordancewith Board Policy 904 Board Approval. (See Exhibit 10.)

GOVERNANCE/LEGAL COMMITTEE REPORTWednesday, May 21, 2008

The Committee was brought to order by Mr. Bob Owens, Chair. The following items were discussed/votedupon:1. On motion by Ms. Whitten, seconded by Mr. Ross, with Dr. Neely, Mr. Perry and Ms. Robinson absent

and not voting, the Committee pulled item #1 from the Governance/Legal Agenda.2. On motion by Mr. Owens, seconded by Ms. Whitten, with Dr. Neely, Mr. Perry and Ms. Robinson

absent and not voting, the Committee pulled item #2 from the Governance/Legal Agenda.Committee members attending the meeting were: Mr. Bob Owens (Chair), Mr. Scott Ross and Ms. AmyWhitten (Ex Officio). Committee members Dr. Bettye Neely, Mr. Alan Perry and Ms. Robin Robinson wereunable to attend. Other Board members attending the meeting were: Mr. Ed Blakeslee, Dr. Stacy Davidson,Mr. Aubrey Patterson, Dr. Douglas Rouse and Mr. C.D. Smith.

GOVERNANCE /LEGAL AGENDAThursday, May 22, 2008

Presented by Mr. Bob Owens, Chair

AGENDA ITEMS #1 - #4 WERE PULLED FROM THE AGENDA.

1. System Administration - Request approval for first reading of proposed amendments to Board Policy301.0806 University Foundation/ Affiliated Entity Activities. (THIS ITEM WAS PULLED FROMTHE AGENDA.)

2. System Administration - Request approval for first reading of the deletion of Board Policy 301.0805Council of the Institutional Executive Officers/Presidents/Chancellor. (THIS ITEM WAS PULLEDFROM THE AGENDA.)

3. UM - Request approval of an affiliation agreement with The University of Mississippi Foundation, aMississippi non-profit corporation that has existed since 1973 and which supports the university’sdevelopment efforts and assists the university by managing its endowments, among other things. Thisproposed agreement complies with the requirements of Board Policy 301.0806 UniversityFoundation/Affiliated Entity Activities and is similar to the agreements approved by the Board inNovember 2006. The Chancellor recommends that the Board approve this agreement and authorize himto execute it on behalf of the university. (THIS ITEM WAS PULLED FROM THE AGENDA.)

4. UM - Request approval of an affiliation agreement with The University of Mississippi ResearchFoundation, a Mississippi non-profit corporation created in 1999 that supports the research andcommercialization efforts of the university, among other things. This proposed agreement complies

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with the requirements of Board Policy 301.0806 University Foundation/Affiliated Entity Activities andis similar to the agreements approved by the Board in November 2006. The Chancellor recommendsthat the Board approve this agreement and authorize him to execute it on behalf of the university.(THIS ITEM WAS PULLED FROM THE AGENDA.)

5. System Administration (Information item.) - The Board received a report of the payment of legal feesto outside counsel. (See Exhibit 11.)

6. Other Business - Ms. Whitten noted that on the monthly report presented for information in #5 above,there are several payments for professional services to the Forman Perry Watkins Krutz & Tardy lawfirm concerning cases with the University of Mississippi Medical Center. Incoming Board member, Mr.Alan Perry, is a partner of this law firm. It should be noted that these cases pre-date Mr. Perry’sselection as a Board member. It should also be noted that he has not taken his oath of office yet.

ADMINISTRATION/POLICY AGENDAPresented by Dr. Thomas Meredith, Commissioner

On motion by Ms. Whitten, seconded by Mr. Smith, with Dr. Neely and Mr. Perry absent and not voting, it was

RESOLVED, That the Board hereby approved agenda item #1 as submitted on the followingAdministration/Policy Agenda.

1. System Administration - Approved the request to hire a consulting firm for the Mississippi StateUniversity’s Presidential Search in compliance with Board Policy 201.0608 Institutional ExecutiveOfficer/Commissioner of Higher Education Search Process.

2. System Administration (Information item.) - In compliance with Board policy, the following itemshave been approved by the Commissioner on behalf of the Board.a. Quarterly Employment Hires Report for the period of January 1, 2008 through March 31, 2008,

as required by Board Policy 401.0102 Delegation of Authority and 801.08 Outside Employment.

COMMISSIONER’S REPORTPresented by Dr. Thomas Meredith, Commissioner

The highlights from the Commissioner’s Report were as follows:< Thank you, Madam President. It is a pleasure to present the May Commissioner’s report.< Ms. Whitten, welcome to your first official meeting as President of the Board! You demonstrated today

that the Board is in capable hands. We look forward to this year as you build on Dr. Davidson’s positivemomentum.

< Welcome to our new Trustees! We are close to the end of your first meeting and you are still here,which is a good sign! We are pleased to have you with us and I look forward to working with each ofyou.

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< Today you had an important discussion regarding tuition. At the heart of the issue is the lack of acommitment to our universities from the state legislature. We have not yet been successful in helpingour funding partners understand that the competitive future of our state rests on a strong universitysystem in Mississippi. We must make sure we receive the same funding commitment from ourlegislative partners that they currently give K-12 and the community and junior colleges. We will askfor your support this summer as we build our legislative strategy for January.

< Several of our IEO’s and our legislative liaisons met on Tuesday at our home to debrief the 08Legislative Session and to begin planning for the 09 Session.

< We are moving forward with the presidential searches at Mississippi State and Mississippi Valley StateUniversity.

< On Monday, April 28th, the Mississippi State Board Search Committee, chaired by Trustee Scott Ross,met with the MSU institutional community to hear what they want in their next institutional executiveofficer. In addition to Trustee Ross, members of the MSU Board Search Committee include TrusteesEd Blakeslee, Aubrey Patterson, Robin Robinson, and C.D. Smith. Dr. Doug Rouse and PresidentWhitten also attended.

< A similar meeting was also held on Friday, May 2nd, at Mississippi Valley State University. As youknow, the MVSU Board Search Committee is chaired by Trustee Bettye Henderson Neely, and membersinclude Trustees Stacy Davidson, Bob Owens, Alan Perry, Amy Whitten, and Christy Pickering.

< Ms. Whitten got as far as Winona on her way to the listening session before a buzzard tried to get in thecar with her, but the windshield kept him out! The listening sessions were productive and informative.The feedback will be used as the job descriptions are formulated. Next steps include the announcementof the Institutional Search Advisory Committees for both institutions. As you know, the SearchAdvisory Committee has the responsibility of reviewing all applications and resumes and recommendingno less than 5 names to the Board Search Committee for interviews. Members of the Search AdvisoryCommittee, self-selected and referred to as the “Interview Search Advisory Committee,” will then jointhe Board throughout the rest of the interview process. Each step of the process for both searches canbe tracked on the presidential search pages on our website, www.mississippi.edu.

< Last month you recognized the good work of Seetha Srinivasan, Director of the University Press, whowill retire June 30th. Today you also granted Seetha emerita status upon her retirement, which is a greathonor. Today I am happy to report that the University Press of Mississippi search committee hasfinished its work in finding Seetha’s replacement. Leila Salisbury brings significant experience fromthe University Press of Kentucky, where she currently serves as the Director of Marketing. Leila alsobrings an expertise in innovative technologies for production and marketing that will strengthenoperations of the University Press. We look forward to welcoming Leila on July 1st.

< Mississippi has been selected for participation in the competitive Making Opportunity Affordable grantprogram, sponsored by the Lumina Foundation for Education and Jobs for the Future. Of 37 states thatsubmitted a letter of interest in December, Mississippi was one of the 10 states selected to receive a one-year, $100,000 planning grant. At the completion of the first year, 5 states will be selected to receiveup to $500,000 for 4 years, based on plans developed during the planning year. The grants are designedto help states advance a productivity agenda in higher education by developing goals, policies, andpractices that produce more degrees at a lower cost per degree. Grant team members include Dr. HankBounds, state superintendent of education; Dr. Eric Clark, executive director of the State Board forCommunity and Junior Colleges; Dr. Harold Fisher, executive director of the Mississippi Associationof Independent Colleges; Mr. Donald Pendergrast, director of instruction for the Mississippi PrivateSchool Association; myself; and a number of support members. IHL Assistant Commissioner of

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Academic and Student Affairs Dr. Lynn House is truly spearheading the effort, and we appreciate hergood work. This is great news!

< Finally, in institutional good news:< Yesterday, Dr. Ross appointed Sheriff Frank Davis Interim Chief of Police at Alcorn State

University. Chief Davis has served as sheriff of Claiborne County since 1979. Chief Davis isan Alcorn graduate and is currently pursuing his MBA; he also served 2 years in the Army. Dr.Ross, I know you are pleased to welcome Chief Davis to campus.

< Delta State University recently held a dedication ceremony for the S. Wayne ThompsonJournalism Lab. Thompson, a beloved sportswriter at the Clarion-Ledger and Memphis-basedCommercial Appeal, willed his life savings of $350,000 to strengthen journalism education atDelta State. This is great news for Mississippi’s future reporters. Congratulations, Dr. Hilpert!

< Dr. Mason recently informed me that, of Mississippi’s research universities, Jackson State hadthe highest funding rate on proposals submitted to the National Science Foundation—24%! Thestate’s average was 16%. Dr. Mason, this is quite an achievement. Congratulations!

< The answer is: Mississippi State grad Joey Beachum! The question? Who walked away withthe top prize of $100,000 during the College Championship series of the long-running televisiongame show, “Jeopardy!” Beachum graduated from MSU two weeks ago with a perfect 4.0 GPAin political science and is now a second lieutenant in the U.S. Air Force.

< Dr. Watson also let me know today that Mississippi State University students earned top honorsin the General Motors and the U.S. Department of Energy’s Challenge X student engineeringcompetition. They created an energy-efficient car that achieved a 38 percent increase in fueleconomy. Congratulations!

< A scholarship fund at Mississippi University for Women has been established in honor of Dr.Delene Lee, a former professor, VP for financial affairs, and interim president at the institution.An anonymous student endowed the scholarship fund to assist non-traditional students living ina 40-mile radius of MUW.

< B.B. King will return to Mississippi Valley State University for his eighth annual B.B. KingInternational Blues Workshop on June 6th. His special guest star will include his daughter,Shirley King. I’m sure this will be a great event, Dr. Hudson!

< On May 10th, University of Mississippi graduate Michael Dodge earned a special distinctionwhen he was awarded his juris doctor degree. Dodge, a resident of Long Beach, became the firstgraduate to receive a special space law certificate, the only one of its kind in the country,through the law school’s National Center for Remote Sensing, Air, and Space Law at theUniversity of Mississippi.

< And finally, the University of Southern Mississippi is the recipient of a 2008 Diversity inAthletics Award from the NCAA and Texas A&M University’s Laboratory for Diversity inSports. Southern Miss is among 11 recipients due to the graduation rate of their AfricanAmerican male student athletes.

< And that, Madam President, brings me to the end of my report.

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EXECUTIVE SESSION

On motion by Ms. Whitten, with Dr. Neely and Mr. Perry absent and not voting, the Board voted to close themeeting to determine whether or not it should declare an Executive Session. On motion by Ms. Robinson,seconded by Ms. Pickering, with Dr. Neely and Mr. Perry absent and not voting, the Board voted to go intoExecutive Session for the reasons reported to the public and stated in these minutes, as follows:

Discussion of a litigation matter at Alcorn State University andDiscussion of an investigation by a public body at the University of Southern Mississippi.

During Executive Session, the following matters were discussed and/or voted upon:

On motion by Mr. Owens, seconded by Ms. Robinson, with Dr. Neely and Mr. Perry absent and notvoting, the Board approved the settlement of the case styled Alcorn State University vs. ClaiborneNatural Gas, Inc. and Mississippi River Gas, LLC as presented by legal counsel, and to amend the twocontracts with Claiborne Natural Gas, Inc. and Mississippi River Gas, LLC as required by the proposedsettlement.

The Board discussed an investigation by a public body at the University of Southern Mississippi.

On motion by Ms. Robinson, seconded by Mr. Owens, with Dr. Neely and Mr. Perry absent and notvoting, the Board voted to return to Open Session.

ADJOURNMENT

There being no further business to come before the Board, on motion by Ms. Whitten, seconded by Mr.Blakeslee, with Dr. Neely and Mr. Perry absent and not voting, the Board members voted to adjourn.

____________________________________________________________________President, Board of Trustees of State Institutions of Higher Learning

____________________________________________________________________Commissioner, Board of Trustees of State Institutions of Higher Learning

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EXHIBITS

Exhibit 1 Allocation of FY 2009 state appropriations for Education andGeneral funding to the institutions.

Exhibit 2 Proposed resident tuition increases effective with the Fall 2008academic term.

Exhibit 3 Proposed non-resident tuition increases effective with the Fall2008 academic term.

Exhibit 4 Proposed resident and non-resident tuition increases for theprofessional schools at the University of Mississippi effectivewith the Fall 2008 academic term.

Exhibit 5 Proposed resident and non-resident tuition increases for theprofessional schools at the University of Mississippi ofMississippi Medical Center effective with the Fall 2008 academicterm.

Exhibit 6 Proposed room rate increases effective with the Fall 2008academic term.

Exhibit 7 Proposed board rate increases effective with the Fall 2008academic term.

Exhibit 8 Discretionary fund dispersal for emergency and repair items.

Exhibit 9 FY 2010 Facilities Needs Request.

Exhibit 10 Real Estate & Facilities items that were approved by the IHLBoard staff subsequent to the April 16, 2008 Board meeting.

Exhibit 11 Report of the payment of legal fees to outside counsel.

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E&G AllocationFY 2009 EXHIBIT 1

0.8%$ 3,050,716 $ 393,519,857 $ 390,469,141 Total

0.0%(11,789)90,733,379 90,745,168 USM

3.7%2,999,410 84,126,174 81,126,764 UM

0.1%19,247 15,799,681 15,780,434 MVSU

-0.3%(44,671)15,887,614 15,932,285 MUW

0.1%122,394 100,823,547 100,701,153 MSU

0.0%(17,463)41,918,145 41,935,608 JSU

-0.2%(50,844)23,909,713 23,960,557 DSU

0.2%$ 34,432 $ 20,321,604 $ 20,287,172 ASU

% Change

$ Change FY 2009 FY 2008

E&G without Ayers

Plus $1,000,000 for system audit

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Summary of RecommendationFY 2009 EXHIBIT 2

3.7%$ 2,370 $ 89 $ 2,282 $ 23 $ 2,259 System Semester

3.7%$ 4,741 $ 178 $ 4,563 $ 45 $ 4,517 System Annual

3.7%5,096 181 4,915494,866USM

3.5%5,107 173 4,934494,885UM

3.6%4,575 158 4,417444,373MVSU

5.1%4,423 214 4,209424,167MUW

3.5%5,150 172 4,978494,929MSU

3.5%4,634 157 4,477444,433JSU

4.7%4,449 201 4,248424,206DSU

4.0%$ 4,498 $ 175 $ 4,323 $ 43 $ 4,280 ASU

Proposed Percent Increase

FY 2009 Recommendation

Proposed Dollar

Increase

FY 2008 RateSurchargeFY 2008 Base

Tuition RateInstitution

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Proposed Non-Resident TuitionFY 2009 EXHIBIT 3

9.0%$ 5,836$ 482 $ 5,354 System Semester

9.0%$ 11,672 $ 964 $ 10,708 System Annual

9.0%12,7451,052 11,693USM

9.0%12,4671,029 11,438UM

9.0%11,116918 10,198MVSU

9.0%11,688965 10,723MUW

9.0%12,5011,032 11,469MSU

9.0%10,978906 10,072JSU

9.0%11,182923 10,259DSU

9.0%$ 10,692 $ 883 $ 9,809 ASU

Proposed Increase

FY 2009 Proposed

ProposedDollar

IncreaseFY 2008

RateInstitution

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University of Mississippi EXHIBIT 4Professional Tuition Request – Resident & Non-Resident

FY 2009 – FY 2011

N/A27,18624,18620,118Pharmacy - P5/P6 Non-ResidentN/A12,82011,82010,398UM - Pharmacy - P5/P6 Resident

N/A24,98821,88817,724Pharmacy - P3/P4 Non-ResidentN/A11,87610,7769,258UM - Pharmacy - P3/P4 Resident

N/A N/A 14,52013,452Pharmacy - P1/P2 Non-ResidentN/A N/A 6,4085,988UM - Pharmacy - P1/P2 Resident

N/A N/A 13,96812,897MBA - Non-ResidentN/A N/A 6,0845,661UM - MBA – Resident

N/AN/A19,62018,550Law - Non-ResidentN/AN/A $ 9,350 $ 8,930 UM - Law – Resident

FY 2011 Proposed &

Recommended

FY 2010 Proposed &

Recommended

FY 2009 Proposed &

RecommendedFY 2008Institution

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University of Mississippi Medical Center EXHIBIT 5Professional Tuition Request – Resident & Non-Resident

FY 2009 – FY 2011

N/A N/A 12,46711,438Health Related Prof. Non-Resident

N/A N/A 5,1074,934UMMC – Health Related Prof –Resident

N/AN/A12,46711,438Nursing - Non-Resident

N/AN/A 5,107 4,934 UMMC - Nursing – Resident

38,51532,69026,86518,711Dentistry – Non-Resident

16,53014,03011,5309,030UMMC - Dentistry – Resident

36,46231,80227,14218,661Medicine - Non-Resident

$ 15,649$ 13,649$ 11,649$ 9,649UMMC - Medicine – Resident

FY 2011 Proposed &

Recommended

FY 2010 Proposed &

Recommended

FY 2009 Proposed &

RecommendedFY 2008Institution

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Recommended Room Rates EXHIBIT 6FY 2009

4.7%$ 2,343 $ 105 $ 2,238 " " - single occupancy

5.7%$ 1,637 $ 88 $ 1,549 Semester Avg. - double occupancy4.7%$ 4,686 $ 209 $ 4,477 " " - single occupancy

5.7%$ 3,274 $ 177 $ 3,097 Annual Avg. - double occupancy

6.9%4,063 264 3,799 " - single occupancy6.1%3,327 190 3,137 USM - double occupancy

4.0%4,932 190 4,742 " - single occupancy5.0%3,516 168 3,348 UM - double occupancy

5.0%3,808 181 3,627 " - single occupancy

5.0%2,611 124 2,487 MVSU - double occupancy5.1%5,259 256 5,003 " - single occupancy

5.2%3,009 149 2,860 MUW - double occupancy

7.0%4,890 320 4,570 " - single occupancy7.0%4,124 270 3,854 MSU - double occupancy

0.0%5,351 -5,351 " - single occupancy

5.0%3,536 168 3,368 JSU - double occupancy6.0%4,499 255 4,244 " - single occupancy

6.0%3,091 175 2,916 DSU - double occupancy6.0%$ 2,976 $ 169 $ 2,807 ASU - double occupancy

Percentage IncreaseFY 2009 Charge

Proposed Annual IncreaseFY 2008 ChargeInstitution

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Recommended Board (Meal Plan) Rates EXHIBIT 7FY 2009

6.9%$ 1,119 $ 73 $ 1,046 Semester Average

6.9%$ 2,238 $ 145 $ 2,093 System - (most expensive plan only)

9.0%2,300 190 2,110 USM - average all plans

6.0%1,378 78 1,300 " - least expensive plan

14.3%2,398 300 2,098 UM - most expensive plan ('08-'09 plan is new)

4.0%2,137 82 2,055 MVSU - 21 weekly meals

5.0%2,057 98 1,959 MUW - three available plans


15.1%2,300 302 1,998 MSU - most expensive plan


5.0%2,310 110 2,200 JSU - most expensive plan

N/A 200 200 -" - least expensive plan

0.0%2,250 -2,250 DSU - most expensive plan

3.8%$ 2,150 $ 78 $ 2,072 ASU - all plans

Percentage Increase

Proposed FY 2009 Rate

Proposed IncreaseFY 2008 RateInstitution

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EXHIBIT 8May 21-22, 2008

IHL DISCRETIONARY FUND DISPERSAL FOR EMERGENCY AND REPAIR ITEMS

Recommendations/2008 Amount Amount

University/Top Two Priorities Requested Recommended

ASU1. Emergency Notification system $350,000 $250,0002. Fire code Compliance Upgrade (included above)3. Replacement of Campus Generators (included above)4. Ambulance (included above)

DSU1. Repair of Elevated Water Tank $250,000 $100,000*

JSU1. Emergency Notification System $65,000 $300,0002. Roof Replacement – Stewart & McAllister/Whiteside $235,000

MSU1. Building Fire Alarm Systems $500,000 $300,0002. Emergency Parking Lot Phones $ 60,0003. Agriculture $150,000

MUW1. Painter Hall Mechanical Renovations $353,000 $200,0002. Kincannon Hall Mechanical Renovations $480,000

MVSU1. Campus Security Phase III $300,000 $200,0002. Campus Security Lighting $300,000

UM1. Dormitory Sprinklers No Amount Designated $300,000

UMMC $200,000

USM1. Emergency Notification System $288,000 $300,0002. Emergency Lighting/Code Blue Upgrades $275,0003. Gulf Park $ 50,000

TOTAL $3,456,000 $2,350,000

*300,000 given earlier for sewer line repairs at the DSU cafeteria.

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Funding Request for FY 2010 – May 2008 FY 2010 Facilities Needs Request

Priority Order University Project Description Request Per Project 1 MUW Fire Suppression Systems $1,563,755 2 JSU Campus Security Project $3,000,000 3 DSU Caylor-White Walters Hall Renovations Ph I $11,500,000 4 MUW Poindexter Hall Renovations $1,976,515 5 MSU Lee Hall Renovations $10,000,000 6 MSU YMCA Renovation $9,399,197 7 ASU General Repair and Renovations $7,574,862 8 MSU/DAFVM Wise Center $15,000,000 9 USM General Repair and Renovations $6,000,000 10 ERC General Repair and Renovations $2,500,000 11 UM Central Mechanical Plant $8,000,000 12 MVSU Library Renovations $5,200,000 13 JSU Dansby/Johnson Renovations $9,500,000 14 ASU Rowan Hall Renovations $1,700,000 15 MVSU General Repairs and Renovations $8,253,000 16 UM Music Hall Renovations $3,500,000 17 MUW Library Renovations $10,000,000 18 DSU Roof Repairs and Renovations $3,500,000 19 UM Roof Repairs and Renovations $4,500,000 20 DSU R&R/Campus Compliance $9,000,000 21 UMMC Medical School Repair and Renovations $15,300,000 22 USM General Classrooms Building $19,500,000 23 UMMC Hospital Repairs and Renovations $20,924,000 24 MSU Civil Engineering Facility $14,000,000 25 USM Energy Project $3,000,000 26 JSU Land Acquisition $3,000,000 27 MSU/DAFM Bost & Forest Product Lab Renovations $1,120,000 28 MSU/DAFM Forestry Genetics Greenhouse $1,926,250 29 ASU Technology Building Repairs and Renovations $2,000,000 30 MVSU Wellness Center $14,000,000 31 UMMC Administration Building $16,852,000

GRAND TOTAL $243,289,579 USM/GC Cross Creek Infrastructure & Initial Building $22,000,000

UM Peabody Hall $500,000 UM Fulton Chapel $500,000

USM/GC Cross Creek Infrastructure $500,000 Pre-Planning Projects

USM/GC Cross Creek Building $500,000 TOTAL $2,000,000

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of 4


Real Estate & Facilities items that were approved by the Board staff subsequent to the April 16, 2008 Boardmeeting in accordance with Board Policy 904 Board Approval.

Alcorn State University

GS 101-227, Dining Facility: The Board staff approved Change Order #1 in the amount of $2,156.16 to install anew drywall closure beneath the first floor landing of stair 125, as requested by the owner due to sprinkler codechanges affecting the area beneath the stair. Approval was requested by the Bureau of Building, Grounds and RealProperty Management. The project budget is $14,640,597.24. Funds are available from HB 1634, Laws of 2006.

GS 101-254, Biotechnology Research Center: The Board staff approved Change Order #6 for a credit in the amountof $20,781 to delete the IT allowance portion of the contract. Approval was requested by the Bureau of Building,Grounds and Real Property Management. Funds are available from the Ayers Settlement.

Delta State University

GS 102-196, Addition and Renovation to Athletic Facilities: The Board staff approved Change Order #1 whichadds upper cabinets in the new Taping Room in the amount of $1,400 and deletes cubbies in the Equipment Roomfor a credit of $1,400. Therefore, no additional costs were involved with this transaction. Approval was requestedby the Bureau of Building, Grounds and Real Property Management. The total project budget is $555,565. Fundsare available from SB 2010, Laws of 2004.

GS 102-213, Delta Music Institute: The Board staff approved Change Order #2 in the amount of $9,106.80 withan additional thirty-one (31) days to the contract of David Smith Construction for painting and various constructionneeds delayed due to weather problems. Approval was requested by the Bureau of Building, Grounds and RealProperty Management. The total project budget is $1,522,000. Funds are available from a DSU grant; SB 2010,Laws of 2004; HB 246, Laws of 2007 and HB 1634, Laws of 2006.

GS 102-213, Delta Music Institute: The Board staff approved Change Order #3 in the amount of $4,200 with anadditional seven (7) days to the contract of David Smith Construction to replace existing termite-damaged doorframes and damaged trim. Approval was requested by the Bureau of Building, Grounds and Real PropertyManagement. The total project budget is $1,522,000. Funds are available from a DSU grant; SB 2010, Laws of2004; HB 246, Laws of 2007 and HB 1634, Laws of 2006.

Jackson State University

GS 103-219, Johnson/Dansby Replacement: The Board staff approved the Contract Documents, authorizedadvertising for the receipt of bids, and requested approval by the Bureau of Building, Grounds and Real PropertyManagement. The total project budget is $11,750,000. Funds are provided from SB 2010, Laws of 2004, and HB246, Laws of 2007.

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Page 2 of 4

GS 103-231, E-City Center Project: The Board staff approved the Construction Documents, authorized advertisingfor the receipt of bids, and requested approval by the Bureau of Building, Grounds and Real Property Management.The total project budget is $806,000. Funds are available from SB 2010, Laws of 2004.

Mississippi State University

Building 1620, Oil Storage Building, Verona, MS: The Board staff approved the university’s request to removeBuilding 1620, Oil Storage Building, Verona, MS from the Mississippi Agricultural & Forestry Experiment Station(#422) inventory. The building is no longer needed and is beyond practical repair. Approval letters from MDAHand MDEQ are maintained in the Office of Real Estate and Facilities.

GS 105-323, Roof Replacements, Phase I: The Board staff approved the Construction Documents, authorizedadvertising for the receipt of bids, and requested approval by the Bureau of Building, Grounds and Real PropertyManagement. The total project budget is $950,000. Funding is available from HB 1634, Laws of 2006.

GS 105-324, McComas Hall Lobby Finishes: The Board staff approved Change Order #1 in the amount of$11,251.40 with an additional fifteen (15) days to the contract of Weathers Construction, Inc. to replaceapproximately 1900 square feet of drywall in the lobby that was damaged by a heating line. Approval wasrequested by the Bureau of Building, Grounds and Real Property Management. The total project budget is$350,000. Funds are available from HB 1634, Laws of 2006.

GS 113-113, Wise Center Fire Alarm/Security: The Board staff approved Change Order #1 in the amount of $1,310which adds detectors and notification devices to three rooms used as overnight guest quarters and deletes an audiblenotification device from a dog run. Approval was requested by the Bureau of Building, Grounds and Real PropertyManagement. The total project budget is $590,000. Funds are available from SB 2010, Laws of 2004, and MSUCVM Dean’s Overhead.

Mississippi Valley State University

GS 106-200, Pre-Plan Carpenter Administration Building: The Board staff approved the Design DevelopmentDocuments as prepared by Shafer and Associates, project professionals, and requested approval by the Bureau ofBuilding, Grounds and Real Property Management. The total project budget is $4,000,000. Funds are availablefrom SB 2010, Laws of 2001.

GS 106-203, Academic Skills Redesign: The Board staff approved Change Order #1 in the amount of $523,311.86with an additional 192 days to the contract of Carothers Construction, Inc. for asbestos abatement. Approval wasrequested by the Bureau of Building, Grounds and Real Property Management. The total project budget is$2,342,932.21. Funds are available from SB 3158, Laws of 2001.

GS 106-212, Re-Roof College Hall: The Board staff approved the Schematic Design Documents as prepared byPryor & Morrow Architects, design professionals, and requested approval by the Bureau of Building, Grounds andReal Property Management. The total project budget is $666,853.65. Funds are available from SB 2988, Laws of2003, and self-generated funds.

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Page 3 of 4

University of Mississippi Medical Center

IHL 209-495, South Pediatric Renovations II: The Board staff approved Change Order #1 in the amount of $24,740with an additional nine (9) days to the contract of Wilkinson Construction Company to add various required utilityitems and remove asbestos flooring. The project budget is $2,771,750. Funds are available through self-generatedsources and donations.

IHL 209-495, South Pediatric Renovations II: The Board staff approved Change Order #2 in the amount of $3,549with an additional five (5) days to the contract of Wilkinson Construction Company to provide additional poweroutlets and lighting in the new mechanical room. The project budget is $2,771,750. Funds are available throughself-generated sources and donations.

IHL 209-495, South Pediatric Renovations II: The Board staff approved Change Order #3 in the amount of $25,000with an additional forty (40) days to the contract of Wilkinson Construction to provide for several latent conditionsthat need resolving due to owner delays in vacating, conflicts with design documents, and working conditions. Theproject budget is $2,771,750. Funds are available through self-generated sources and donations.

IHL 209-507, Dental School Lab D512 Repairs: The Board staff approved the Schematic Design Documents asprepared by Mark Vaughan Architects, design professionals. The project budget is $500,000. Funds are availablefrom self-generated sources.

IHL 209-507, Dental School Lab D512 Repairs: The Board staff approved the Design Development Documentsas prepared by Mark Vaughn Architects, design professionals. The project budget is $500,000. Funds are availablefrom self-generated sources.

IHL 209-508, R019 CT Scanner Renovations: The Board staff approved the Contract Documents and authorizedadvertising for the receipt of bids. The project budget is $310,000. Funds are available from self-generated sources.

IHL 209-508, R019 CT Scanner Renovations: The Board staff approved the Schematic Design Documents and therequest to forgo the submittal of Design Development Documents due to continued failure of CT and the necessityof valuable time to get this much needed project on the market for bid. The project budget is $310,000. Funds areavailable from self-generated sources.

University of Southern Mississippi

GS 108-242, 2005 Roofing Program: The Board staff approved the Contract Documents, authorized advertisingfor the receipt of bids, and requested approval by the Bureau of Building, Grounds and Real Property Management.The total project budget is $1,700,000. Funds are available from SB 2010, Laws of 2004, and HB 3197, Laws of2002.

GS 110-089, 2005 Research Office/Lab Facility – Cedar Point Campus, Phase II: The Board staff approved theDesign Development Documents and requested approval by the Bureau of Building, Grounds and Real PropertyManagement. The total project budget is $9,300,000. Funds are available from SB 2010, Laws of 2004, MississippiDMR and a NOAA Grant (GS02733).

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Page 4 of 4

GS 115-002, 2005 Oceanographic Facility/Infrastructure Modifications: The Board staff approved the award ofa contract to Kenneth R. Thompson, Jr. of Greenwood, MS, the lower of seven (7) bids in the amount of $3,450,000.Approval was requested by the Bureau of Building, Grounds and Real Property Management. The total projectbudget is $4,157,000. Funds are available from SB 3197, Laws of 2002; SB 2010, Laws of 2004 and HB 246, Lawsof 2007.

IHL 208-258, MM Roberts Stadium Expansion and Renovation: The Board staff approved Change Order #10 inthe amount of $38,184.79 for various indoor items necessary to the renovation. The project budget is$32,171,670.38. Funds are available in the project budget and from the USM Athletic Foundation.

IHL 208-258, MM Roberts Stadium Expansion and Renovation: The Board staff approved Change Order #11 inthe amount of $147,879.79 for various outdoor items necessary to the renovation. The project budget is$32,171,670.38. Funds are available in the project budget and from the USM Athletic Foundation.

IHL 208-258, MM Roberts Stadium Expansion and Renovation: The Board staff approved Change Order #12 fora credit in the amount of $52,482.17. The project budget is $32,171,670.38. Funds are available in the projectbudget and from the USM Athletic Foundation.

IHL 208-260, The Village: The Board staff approved Change Order #5 for a credit in the amount of $37,412.58.The total project budget is $20,524,141.57. Funds are available from self-generated sources and EBC bonds.

IHL 208-268, Data Center Upgrade: The Board staff approved the Contract Documents and authorized advertisingfor the receipt of bids. The total project budget is $3,500,000. Funds are available from a Mississippi Departmentof Education grant.

IHL 208-269, Commons Building: The Board staff approved the award of a contract to Abatement Contractors ofMississippi, Inc. of Hattiesburg, MS the lower of seven (7) bids for a contract amount of $163,865 for asbestosabatement. The total project budget is $500,000. Funds are available from self-generated sources.

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of 3


Legal fees approved for payment to outside counsel in relation to litigation and other matters:

Payment of legal fees for professional services rendered by David Ware & Associates (Statement dated 3/27/08)from the funds of Mississippi State University. (This statement represents services and expenses in connection withDr. Fiona McCarthy.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,500.00

Payment of legal fees for professional services rendered by Phelps Dunbar (Statement dated 3/31/08) from the fundsof Mississippi State University. (This statement represent services and expenses in connection with the case styledCharlie F. Wade v. MS Cooperative Extension Service.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $2,320.16

Payment of legal fees for professional services rendered by Forman Perry Watkins Krutz & Tardy (Statements dated3/7/08) from the funds of the University of Mississippi Medical Center. (These statements in the amounts of$540.00, $120.00, $2,748.99, $1,981.14, and $1,390.75 represent services and expenses in connection withMcGarry, Seid, Beason, Flowers, and Knight cases, respectively.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,780.88

Payment of legal fees for professional services rendered by Phelps Dunbar (Statement dated 3/31/08) from the fundsof the University of Mississippi Medical Center. (This statement represents services and expenses in connectionwith DSH Litigation.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $1,515.16

Payment of legal fees for professional services rendered by Adams & Reese (Statements dated 3/13/08 and 4/9/08)from the funds of the University of Southern Mississippi. (These statements represent services and expenses inconnection with personnel issues.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,933.25

Legal fees approved for payment to outside counsel in relation to patent and other matters:

Payment of legal fees for professional services rendered by Butler, Snow, O’Mara, Stevens & Cannada (Statementdated 3/10/08) from the funds of Mississippi State University. (This statement represents services and expensesin connection with the following patent: “Compact Time-of-Flight Mass Spectrometer – Germany.”)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $226.41

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Page 2 of 3

Payment of legal fees for professional services rendered by Butler, Snow, O’Mara, Stevens & Cannada (Statementdated 3/18/08) from the funds of the University of Mississippi. (This statement represents services and expensesin connection with the following patent: “Cache Mapping Technology Matter.”)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $5,188.30

Payment of legal fees for professional services rendered by Hunton & Williams (Statements dated 3/11/08) fromthe funds of the University of Mississippi. (These statements represent services and expenses in connection withthe following patents: General - $128.00; “Stable Suppository Formulations Effecting Bioavailability of _9-THC– CA” - $62.50; “Stable Suppository Formulations Effecting Bioavailability of _9-THC – South Africa” - $31.25;“Stable Suppository Formulations Effecting Bioavailability of _9-THC – Belgium” - $62.50; “Stable SuppositoryFormulations Effecting Bioavailability of _9-THC – Denmark” - $62.50; “Stable Suppository FormulationsEffecting Bioavailability of _9-THC – France” - $62.50; “Stable Suppository Formulations Effecting Bioavailabilityof _9-THC – Germany” - $62.50; “Stable Suppository Formulations Effecting Bioavailability of _9-THC –Netherlands” - $31.25; “Stable Suppository Formulations Effecting Bioavailability of _9-THC – Sweden” - $31.25;“Stable Suppository Formulations Effecting Bioavailability of _9-THC – Switzerland” - $62.50; “StableSuppository Formulations Effecting Bioavailability of _9-THC – United Kingdom” - $31.25; “Stable SuppositoryFormulations Effecting Bioavailability of _9-THC – Ireland” - $31.25; “Stable Suppository Formulations EffectingBioavailability of _9-THC – Italy” - $31.25; “Stable Suppository Formulations Effecting Bioavailability of _9-THC– Luxembourg” - $31.25; “Design and Synthesis of Optimized Ligands and PPAR ... – CA” - $62.90; “Design andSynthesis of Optimized Ligands and PPAR ... – EP” - $62.50; “Design and Synthesis of Optimized Ligands andPPAR ... –AU” - $62.50; “Transmucosal Delivery of Cannabinoids – CA” - $62.50; “Transmucosal Delivery ofCannabinoids – CA” - $62.50; “Transmucosal Delivery of Cannabinoids – MX” - $522.87; “Transmucosal Deliveryof Cannabinoids” - $2.24; “Method of Preparing Delta-9-Tetrahydrocannabinol – CA” - $1,770.39; “StableSuppository Formulations Effecting Bioavailability of _9-THC – PL” - $31.25; “Stable Suppository FormulationsEffecting Bioavailability of _9-THC – AU” - $62.50; “Manzamines in the Treatment of Infectious Diseases” -$5.62; “Method of Preparing Delta-9-Tetrahydrocannabinol – CA” - $1,129.62; “Method of Preparing Delta-9-Tetrahydrocannabinol – KR” - $1.97; “Artemisinin-Based Peroxide Compounds as Broad Spectrum Anti-InfectiveAgents” - $3.46; “Method of Preparing Delta-9-Tetrahydrocannabinol – AU” - $6.56; “Method of Preparing Delta-9-Tetrahydrocannabinol – CA” - $1,186.58; “Anticancer and Antiprotozoal Dihydroartemisinene andDihydroartemisitene Dimers with Desirable Chemical Functionalities – CA” - $62.50; “Anticancer andAntiprotozoal Dihydroartemisinene and Dihydroartemisitene Dimers with Desirable Chemical Functionalities –EP” - $62.50; “Anticancer and Antiprotozoal Dihydroartemisinene and Dihydroartemisitene Dimers with DesirableChemical Functionalities” - $3.11; “Method of Controlling Toxicity of Aminoquinoline Compounds” - $5.99; and“PRVPA Prevention of Poison Ivey Dermatitis” - $649.19.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $6,540.60

Payment of legal fees for professional services rendered by Stites & Harbison (Statements dated 2/29/08) from thefunds of the University of Mississippi. (These statements represent services and expenses in connection with thefollowing patents: “Amphotericin BHP” - $693.92; “Novel Antigiardial Agents” - $519.00; “Medicaments to Nails& Perionychiu” - $735.04; “Spherical Pellet Production” - $1,014.34; “Method and Device for Reducing EngineNoise” - $91.50; “Novel Cyclopentenedione Antifungal Compounds and Methods for Their Use – JP” - $103.00;“Cembranoids/Chemopreventive” - $1,984.99; “Acoustic Instruments for Use in Aquaculture” - $150.50; “SaururusCernuus Compounds that Inhibit Cellular Response to Hypoxia” - $173.50; “Novel Cyclopentenedione Antifungal

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Compounds and Methods for Their Use – EP” - $227.56; “Saururus Cernuus Compounds that Inhibit CellularResponse to Hypoxia - AU” - $1,066.50; and “Corrugated and Ported Prism Engine Nozzel for Reduction ofSupersonic Jet Exhaust Noise” - $947.79.)

TOTAL DUE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $7,707.64

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CONSENT AGENDA June 17-19, 2008

Page 1 of 12

A. BUDGET, FINANCE, AND AUDIT

1. JSU - SPONSORSHIP AGREEMENT Jackson State University requests approval to enter a ten-year agreement with Brown Bottling Group, Inc. The purpose of this sponsorship agreement is to serve as the exclusive pouring rights agent to JSU and to offer and provide the convenience of beverages and snacks through self-operated machines campus-wide.

The company will provide vending machine equipment and the associated maintenance services at various campus locations. Brown Bottling Group’s total investment to JSU over the life of the term is estimated to be equal to $3,875,466 in revenues (commissions) to be paid over the life of the contract. The contract begins on or about August 1, 2008 and ends July 31, 2018.

STAFF RECOMMENDATION: This agreement has been reviewed and approved by the Attorney General’s Office. Board staff recommends approval of this item.

2. UM - FIRE PROTECTION CONTRACT The University of Mississippi requests approval to enter into a two-year agreement with the City of Oxford, Mississippi. Since 1986, the City of Oxford, Mississippi has provided fire protection service for the University of Mississippi through a series of

agreements. The current agreement expires June 30, 2008. The purpose of the agreement is for the City to continue to provide general fire protection for the entire Oxford campus. The contract period is July 1, 2008 to June 30, 2010. Semi-annual

fees are due as follows: July 1, 2008: $212,369; January 1, 2009: $212,370; July 1, 2009: $244,888; and January 1, 2010: $244,888. The total contract cost is $914,515.


3. UM - PURCHASE AND INSTALLATION OF SCOREBOARD The University of Mississippi informed the Board, through its May 2008 meeting agenda, of its advertisement for proposals for the purchase of a new, fully installed video scoreboard to replace the current video scoreboard that was installed at Vaught- Hemingway football stadium in 1997.

UM seeks approval for the purchase and installation of the scoreboard from Daktronics, Inc. for $5,989,970. Selection of the vendor was via a bid process. To finance the

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Page 2 of 12

purchase, the university will be amending its current Sports Marketing, Promotions, and Multi-Media Rights Agreement with Telesouth Communications, Inc., assigning advertising rights for the new video board in exchange for a substantial increase in the annual rights fee paid to the university.

STAFF RECOMMENDATION: Board staff recommends approval of this item. 4. UMMC - APPROVAL OF CONTRACTS

A. Medical Transportation Agreement The University of Mississippi Medical Center requests approval to enter a one- year contract with Mobile Medic Ambulance dba/American Medical Response. The purpose of the agreement is to provide non-emergent and/or non-ambulance transportation to UMMC patients for intra-campus and distance transportation due to limited or no financial resources. The contract is for the period July 1, 2008 to June 30, 2009 and the total cost is not to exceed $500,000. The contract will be funded by patient revenue.


B. Rental Agreement The University of Mississippi Medical Center requests approval to enter a one-

year contract with Residence Inn by Marriott. The purpose of the agreement is to provide the University Hospitals and Health System twenty (20) rented rooms for 365 days a year. These rooms provide accommodations for transplant and other selected patients in an effort to reduce their length of stay in the hospital. The contract is for the period July 1, 2008 to June 30, 2009 and the total cost is not to exceed $500,000. The contract will be funded by patient revenue. STAFF RECOMMENDATION: This agreement has been reviewed and approved by the Attorney General’s Office. Board staff recommends approval of this item.

C. Blood Services Agreement The University of Mississippi Medical Center requests approval to enter a five- year contract with Mississippi Blood Services. UMMC’s current contract with Mississippi Blood Services expires June 30, 2008. The purpose of the agreement

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Page 3 of 12

is to allow UMMC to purchase human blood, related blood products and to provide laboratory procedures and tests. The contract is for the period July 1, 2008 to June 30, 2013.

Fees for blood components and various services are stipulated within the agreement. Annual projected costs include a 5% increase with Year 1 costs estimated at $6,400. The total contract cost will not exceed $40,000,000. The contract will be funded by patient revenue.

STAFF RECOMMENDATION: This agreement has been reviewed and

approved by the Attorney General’s Office. Board staff recommends approval of this item.

D. Nursing Services Agreement The University of Mississippi Medical Center requests approval to enter a five- year contract with Triage Logic, PLLC. The purpose of the agreement is to provide nursing triage services for pediatricians’ offices who subscribe to this service for after-hours patient calls. The initial agreement period is July 1, 2008 to June 30, 2009 and includes successive one-year automatic renewal periods, not to exceed a five-year period. As such, the contract period is July 1, 2008 to June 30, 2013. The annual contract cost is $280,000 for a total contract cost of $1,400,000. The contract is funded via the community physicians who subscribe to this service.


E. Renewal of Medicaid Eligibility Services Agreement The University of Mississippi Medical Center requests approval of the third

amendment to its services agreement with MedAssist, Incorporated. The purpose of the agreement is to obtain Medicaid eligibility for patients receiving UMMC services, which improves cash flow, maximizes reimbursement and reduces bad debt. The original contract was approved by the Board in June, 2005 for $8,700,000 and contained an option to renew for two one-year periods.

While amendment three is to extend the contract period for only the first of the two-year renewal periods, July 1, 2008 to June 30, 2009, UMMC is seeking authorization to allocate $5,800,000 in total funds to cover the entire two-year

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Page 4 of 12

contract period through June 30, 2010. The contract will be funded via patient revenue.



F. Accounts Receivable Management Agreement The University of Mississippi Medical Center requests approval to enter into a

contract with Medical Receivable Specialists (MRS). The purpose of the agreement is for the contractor to act as a small balance receivables manager for handling insurance follow-up activities. The contract period is July 1, 2008 to June 30, 2009. The fee will be 4.5% of total payments collected for insurance follow-up. The fee is based on the continuation of placement of accounts with an average account balance of $800. The total cost of the contract will not exceed $1,200,000. This contract will be funded via patient revenue.



G. Supplemental Professional Nursing Staffing Agreement The University of Mississippi Medical Center requests approval to enter into a

contract with Southern Healthcare Agency, Inc. The purpose of the agreement is to provide professional nursing services, when requested by UMMC, to supplement existing staff. This contract will allow UMMC to work directly with the local vendor (Southern Healthcare) for supplemental nurse staffing and will remove the existing vendor manager (Sharestaff, LLC) from the agreement. This change is aligned with the overall reduction plan for utilization of agency staff at UMMC and will result in less overhead costs by dealing directly with the vendor.

The RN non-specialty rate is $42 per hour and the RN specialty rate is $43 per

hour. Holiday and overtime rates will be 1.5 times the quoted rates. The contract period is July 1, 2008 to June 30, 2009 and the total cost is not to exceed $1,500,000. This contract will be funded via patient revenue.


approved by the Attorney General’s Office. Board staff recommends approval of this item pending a change to the contract end date and total contract amount.

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H. Supplemental Professional Nursing Staffing Agreement The University of Mississippi Medical Center requests approval to enter into a

contract with Prime Care Nursing, Inc. The purpose of the agreement is to provide professional nursing services, when requested by UMMC, to supplement existing staff. This contract will allow UMMC to work directly with the local vendor (Prime Care) for supplemental nurse staffing and will remove the existing vendor manager (Sharestaff, LLC) from the agreement. This change is aligned with the overall reduction plan for utilization of agency staff at UMMC and will result in less overhead costs by dealing directly with the vendor.

The RN non-specialty rate is $42 per hour and the RN specialty rate is $43 per

hour. Holiday and overtime rates will be 1.5 times the quoted rates. The contract period is July 1, 2008 to June 30, 2009 and the total cost is not to exceed $1,500,000. This contract will be funded via patient revenue.


approved by the Attorney General’s Office. Board staff recommends approval of this item pending a change to the termination date.

5. UMMC - APPROVAL TO ESCALATE THE UNIVERSITY OF MISSISSIPPI MEDICAL CENTER SCHOOL OF DENTISTRY BUDGET The University of Mississippi Medical Center requests Board approval to escalate the FY 2008 budget for the School of Dentistry from $18,081,378 to $19,581,378. The additional funds in the amount of $1,500,000 were appropriated by the Legislature in Senate Bill 3051 during the 2008 Legislative Session from the Budget Contingency Fund to be allocated in the current year. The additional funds will be used to defray the cost of construction, replacing equipment and supplies due to a fire.

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Category Current Budget

Increase/ (Decrease)

Revised Budget

Salaries $ 5,869,629 $ - $ 5,869,629 Wages 1,601,016 1,601,016 Fringe Benefits 2,025,068 2,025,068 Total Salaries, Wages, and Fringe Benefits 9,495,713 - 9,495,713 Travel and Subsistence 78,000 78,000 Contractual Services 1,718,414 500,000 2,218,414 Commodities 1,269,892 1,269,892 Capital Outlay: -

Non Equipment 350,000 350,000 Equipment 1,060,816 1,000,000 2,060,816

Subsidies, Loans, and Grants 8,543 8,543 PSOA 4,100,000 4,100,000 Total Uses of Funding $ 18,081,378 $ 1,500,000 $ 19,581,378

STAFF RECOMMENDATION: According to Board Policy 701.06 Budget Escalations and Revisions all escalations to annual budgets must be submitted through the Commissioner to the Board of Trustees for approval prior to implementation.

Board staff has reviewed the escalation request and recommends approval of this

item.

B. REAL ESTATE AND FACILITIES

APPROVAL OF INITIATIONS OF PROJECTS/APPOINTMENTS OF PROFESSIONALS

1. MUW – GS 104-165, Kincannon Hall Air Handlers

Mississippi University for Women requests permission to initiate a project through the Bureau of Buildings, Grounds and Real Property Management for the cooling unit in Kincannon Hall which needs to be operational by August 1, 2008 for occupants’ safety and comfort. Permission is also requested to appoint Atherton Consulting as project professional. The total project budget is $330,000. Funds are available from SB 2988, Laws of 2003, and SB 1634, Laws of 2006.

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2. UM – GS 107-297, Waste Water Treatment Plant The University of Mississippi requests permission to initiate a project for a new

waste water treatment plant and approval to select the design professional through the interview process. The total project budget is $1,500,000. Funds are available from HB 1641, Laws of 2008.

3. UM – GS 107-286 1B, Coulter Hall 1B The University of Mississippi requests permission to initiate a project and appoint

Barlow, Eddie, Jenkins Architects as the design professional, the current design professional for GS 107-286, Coulter Hall 1A – Phase I. This project is a second phase of Coulter Hall. The total project budget is $4,225,000. Funds are available from HB 1641, Laws of 2008 in the amount of $3,500,000 and university self-generated sources in the amount of $725,000.

4. UM – IHL 207-312, Garland Hedleston, Mayes The University of Mississippi requests permission to initiate a project for

renovations and approval to select the design professional through the interview process. The total project budget is $10,000,000. Funds are available through self-generated sources.

5. UM – IHL 207-313, Johnson Commons – Interiors Upgrade The University of Mississippi requests permission to initiate a project for a non-

structural upgrade to the second floor of Johnson Commons. The design professional will be hired through ARAMARK, a vendor working for the University of Mississippi under an existing contract. The total project budget is $884,449 and will be paid 50/50 by ARAMARK and the university. The portion paid by the university will be through self-generated sources.

6. UMMC – IHL 209-510, Guyton Building Contract III Renovations

The University of Mississippi Medical Center requests permission to initiate a project and appoint a joint venture of Simmons Associates and Eley Associates as project professionals. The project will complete shelled areas with the required partitioning, laboratory casework, finishes, HVAC, and electrical services needed to become a complete, functioning laboratory and support space. Project 209-435, Guyton Building Expansion Contract II, scheduled for completion in August, 2008, constructs laboratory shell space (only) at floors 5, 6, and 7 that could be completed in the future as funding becomes available. The total project budget is

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$16,500,000. Funds are available through Medical Center Education Building Corporation and self-generated sources. STAFF RECOMMENDATION: Board staff recommends approval of Items 1-6.

APPROVAL OF BUDGET INCREASES/CHANGES OF SCOPES

1. DSU – GS 102-213, Delta Music Institute

Delta State University requests approval to increase the budget, add to the scope, and transfer funds in the amount of $100,000 from GS 102-199, Central Mechanical Plant, to GS 102-213, Delta Music Institute. The change in scope is to add interior improvements to the building which were not in the original contract. The design work for this portion of the project is to be prepared by Foil-Wyatt Architects, and will be advertised and bid by the Bureau of Building, Grounds and Real Property Management. The new budget will be $1,622,000. The funding source is a Delta State University HUD grant for $150,000 and the remainder of funding is available from HB 246, Laws of 2007, and HB 1634, Laws of 2006.

2. MSU – GS 113-117, Wise Center Storm Repairs

Mississippi State University Division of Agriculture, Forestry and Veterinary Medicine requests approval to increase the project budget from $1,790,000 to $4,790,000 for an increase in the amount of $3,000,000. This increase is requested to meet the architect’s schematic cost estimate for complete repairs to the Wise Center Building envelope. The schematic design documents have been previously reviewed and approved. The total project budget is $4,790,000. Funding is available from HB 1634, Laws of 2006, HB 1641, Laws of 2008, and the MSU College of Veterinary Medicine.

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Page 9 of 12

3. USM – IHL 208-268, Data Center Upgrade

The University of Southern Mississippi requests approval to increase the budget from $3,500,000 to $3,800,000 for an increase in the amount of $300,000. Bid opening was held May 29, 2008, with a low bid of $3,460,000. The low bid, along with design fees and contingencies, results in an estimated budget of $3,800,000. Funding is available from Continued Recovery for Southern Mississippi grant and self-generated sources. STAFF RECOMMENDATION: Board staff recommends approval of Items 1-3.

C. PERSONNEL

APPROVAL OF PERSONNEL ACTION REQUESTS

1. Employment of Personnel

University of Southern Mississippi Carol Keihl, Dean of Libraries, University Libraries; total salary of $148,000 per annum; E&G Funds; effective July 1, 2008 Lance Nail, Dean, College of Business; total annual salary of $225,000 per annum; E&G Funds; effective July 1, 2008

2. Change of Status Alcorn State University

Linda Godley, from Chairperson and Associate Professor, School of Nursing (Graduate); total salary of $98,549 per annum; to Dean and Associate Professor, School of Nursing; total salary of $120,000 per annum, pro rata; E&G Funds; effective July 1, 2008 William Piper, from Interim Dean and Associate Professor, School of Business; total salary of $104,449 per annum; to Dean, School of Business and Associate Professor; total salary of $130,000 per annum, pro rata; E&G Funds; effective July 1, 2008

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Page 10 of 12

Jackson State University Ricardo “Rick” Comegy, Head Football Coach; from total salary of $169,260 per annum; January 2006 to December 31, 2009 contract period; to total annual salary of $186,000 per annum; E&G Funds; January 2008 to December 31, 2011 contract period Debra Buchanan, Associate Vice President for Academic Affairs; from total salary of $104,399 per annum; E&G Funds; to total salary of $111,663 per annum; E&G Funds; effective July 1, 2008 Mississippi University for Women Eric Daffron, from Professor of English, Director of the Honors College and Coordinator of Study Abroad; total salary of $66,063; to Professor of English and Interim Associate Vice President for Academic Affairs; total salary of $75,000; E&G Funds; effective July 1, 2008 University of Mississippi Wallace M. Wilder; from Interim Dean of Accountancy, Professor of Accountancy, and KPMG Lecturer; total salary of $203,308 per annum, pro rata; to Dean and KPMG Professor; total salary of $208,008 per annum, pro rata; E&G Funds; additional duties for the period May 15, 2008 to June 30, 2008 University of Southern Mississippi Denise von Hermann, from Interim Dean, College of Arts and Letters; total salary of $135,850 per annum, pro rata; to Dean, College of Arts and Letters, total salary of $155,000 per annum, pro rata; effective July 1, 2008 Larry Eustachy, Head Men’s Basketball Coach, Intercollegiate Athletics; from July 1, 2007 to June 30, 2011 contract period; to July 1, 2008 to June 30, 2012 contract period; contract extension; total annual compensation remains at $380,000; Auxiliary Funds

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Page 11 of 12

Richard C. Giannini, Director of Athletics, Intercollegiate Athletics; from July 1, 2007 to June 30, 2011 contract period; to July 1, 2008 to June 30, 2012 contract period; contract extension only; total annual compensation remains at $298,000 ($246,148 Auxiliary Funds and $51,852 Foundation supplement) Joye McNelis, Head Women’s Basketball Coach, Intercollegiate Athletics; from June 1, 2004 to June 30, 2008 contract period; to July 1, 2008 to June 30, 2012 contract period; contract extension only, total annual compensation remains at $143,000; Auxiliary Funds Carlton “Corky” Palmer, Head Baseball Coach, Intercollegiate Athletics; from June 1, 2005 to June 30, 2009 contract period; to July 1, 2008 to June 30, 2012 contract period; contract extension only, total annual compensation remains at $107,500; Auxiliary Funds

3. Sabbatical Leave Delta State University

Pat Brown, Professor and Gallery Director, Department of Art, College of Arts and Sciences; from salary at $54,631; to salary of $27,315 for sabbatical period fall semester 2008; complete book project about the Art Department’s permanent collection at Delta State University

Jackson State University

Christopher M. Gauthier, Assistant Professor of Art; from salary of $48,972 per nine months; to professional leave without pay for the period August 2008 through August 2009

Mississippi State University

Edward T. Dobson, Associate Professor (tenured), Mathematics and Statistics; from total salary of $65,979 per annum; to total salary of $32,989.50 for sabbatical period August 16, 2008 to December 31, 2008; professional improvement Information-Change in Sabbatical Period Approved by Board in March, 2008:

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Kenneth O. Willeford, Professor (tenured), Biochemistry and Molecular Biology; change in sabbatical period from fall semester 2008 to fall semester 2009 (August 16, 2009 to December 31, 2009); salary for sabbatical period of $32,056.50

University of Mississippi Medical Center

John C. Hyde, Professor of Occupational Therapy, School of Health Related Profession and Assistant Professor of Family Medicine, School of Medicine; from total annual salary of $96,902; to total salary of $48,451 for sabbatical period January 1, 2009 through June 30, 2009; research experiment collaboration Lorraine Street, Associate Professor of Occupational Therapy, School of School of Health Related Profession; from total salary of $65,762; to total salary of $32,881 for sabbatical period January 1, 2009 through May 31, 2009; research study

4. Tenure Status University of Southern Mississippi

Thelma Robertson, Associate Professor, Department of Educational Leadership and Research, College of Education and Psychology

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BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING BUDGET, FINANCE, & AUDIT

June 17-19, 2008 Page 1 of 3

1. UM - APPROVAL OF RESOLUTION AUTHORIZING THE ISSUANCE OF BONDS The University of Mississippi seeks approval of a resolution authorizing the University of Mississippi Educational Building Corporation to issue revenue bonds in the aggregate principal amount not to exceed thirty seven million dollars ($37,000,000) to finance the costs of the Residential College Project and of the execution of appropriate related documents. STAFF RECOMMENDATION: Board staff recommends approval of this item pending additional analysis. 2. SYSTEM ADMINISTRATION - APPROVAL OF TUITION INCREASES FOR FY 2009 Tuition increases effective with the fall 2008 academic term were presented to the Board of Trustees at the May, 2008 meeting for a 30-day consideration by the Board. Final consideration and action is requested to approve these rates. The final recommendation increases annual undergraduate tuition rates by an average of 3.7%. Actual increases range from 3.5% to 5.1% annually. In addition, final recommendations include an annual increase in non-resident tuition by 9%. Finally, varying tuition rate increases are recommended for certain professional schools, including the UM Schools of Law, MBA, and Pharmacy and UMMC Schools of Medicine, Dentistry, Nursing and Health Related Professionals. STAFF RECOMMENDATION: Board staff recommends final approval of the proposed rate increases. 3. SYSTEM ADMINISTRATION - APPROVAL OF ROOM AND BOARD INCREASES FOR FY 2009 Room and board increases effective with the fall 2008 academic term were presented to the Board of Trustees at the May, 2008 meeting for a 30-day consideration period by the Board. Final consideration and action is requested to approve these rates. The final recommendation increases average double occupancy rates annually by 5.7% for the system, while the average board or meal plan will increase 6.9% beginning with the fall semester. STAFF RECOMMENDATION: Board staff recommends final approval of the proposed rate increases.

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June 17-19, 2008 Page 2 of 3

4. SYSTEM ADMINISTRATION - APPROVAL OF FISCAL YEAR 2008-2009 OPERATING BUDGETS Approval is requested for the 2008-2009 Operating Budgets for the institutions and separately budgeted units. Included as supplemental information are the following: Fiscal Year 2008-2009 Ayers Budgets Fiscal Year 2008-2009 Athletic Budgets Fiscal Year 2008-2009 E&G Scholarships, Fellowships & Tuition Waivers STAFF RECOMMENDATION: Board staff recommends approval of the Fiscal Year 2008-2009 Operating Budgets for the institutions, separately budgeted units, Ayers Budgets, Intercollegiate Athletics and institutions’ Financial Aid Budgets. 5. SYSTEM ADMINISTRATION - APPROVAL OF FISCAL YEAR 2010 PROPOSED FUNDING PRIORITIES Proposed funding priorities are required for the Fiscal Year 2010 Legislative Budget Request (LBR). The proposed funding priorities for FY 2010 will be submitted under separate cover. STAFF RECOMMENDATION: Board staff recommends approval of this item. 6. SYSTEM ADMINISTRATION – APPROVAL OF CONTRACT FOR AUTOMOBILE LIABILITY COVERAGE The IHL Tort Plan funds all third party claims as outlined in the Mississippi Tort Claims Act (§11-46-1, et seq.), including automobile liability coverage. There is significant exposure to loss with an estimated 1,743 vehicles, which includes fire trucks, ambulances, police cars, 15 passenger vans, and buses. Even more significant is coverage for the use of personal and rental vehicles in the performance of IHL business by 25,000 plus employees. To limit its exposure, the IHL Tort Plan currently purchases liability insurance coverage of $500,000 in-state and $5,000,000 out-of-state through Union Standard Insurance Company and St. Paul Surplus Lines Insurance Company.

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June 17-19, 2008 Page 3 of 3

The Office of Risk Management released a Request for Quote on March 28, 2008. Union Standard Insurance Company, has agreed to write the $500,000 in-state coverage and $1,000,000 out-of-state coverage, and First Specialty Insurance Corporation, will write $4,000,000 excess out-of-state coverage. The IHL Tort Plan will be subject to a $10,000 deductible per claim up to a $250,000 annual aggregate retention. The premium quoted for FY 2009 is $661,094, compared to the current premium of $806,429. This is an 18% reduction in premium from FY 2008. STAFF RECOMMENDATION: Board staff recommends approval of this item. 7. USM - APPROVAL OF RESOLUTION AUTHORIZING THE ISSUANCE OF BONDS

The University of Southern Mississippi requests approval to issue revenue bonds not to exceed $50 million to finance the construction of a 900-bed housing project on the Hattiesburg campus. Additionally, USM requests approval to name Harris, Jernigan and Geno, PLLC as Bond Counsel. This firm was selected via a competitive bid process. USM expects the building will be operational by FY 2010. This request is part of the Phase 1 Dormitory Replacement Project in USM’s master plan. USM selected Carl Nicholson and Company as its financial advisor. The university anticipates structuring debt repayment based on available revenues generated from the project. The result is payment of little or no principal in early years and large principal payments due in the last 15 years of the project. According to pro- forma debt coverage ratios provided by the university and Nicholson and Company, the university expects a university-wide debt coverage ratio of 2.06 in FY 2009, decreasing to 1.71 in FY 2010, and 1.69 in FY 2013. STAFF RECOMMENDATION: Board Subcommittee Report to be presented.

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BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING AGENDA

REAL ESTATE AND FACILITIES JUNE 17-19, 2008

Page 1 of 5

APPROVAL OF INITIATIONS OF PROJECTS/APPOINTMENTS OF PROFESSIONALS 1. MSU – Lease Approval

Mississippi State University requests approval to enter into a lease agreement with the East Mississippi Center for Educational Development, Inc. for office space on the Meridian Campus for the purpose of conducting the business activities of the East Mississippi Center for Educational Development (EMCED). The primary term of this lease shall be for one (1) year, commencing on July 1, 2008, and ending at 12:00 midnight on June 30, 2009, and shall be renewed annually upon written agreement of both parties, not to exceed a term on ten (10) years. The documents have been reviewed and approved by the Attorney General’s Office.

2. MSU – John W. Starr Memorial Forest Timber Sales Mississippi State University requests approval to award timber sales to the highest bidder from bids received on May 21, 2008 for timber sales 07-01PT, 07-02PT, and 07-03PT from John W. Starr Memorial Forest. Bids below are shown from highest to lowest in order of tracts.

Timber Sale No. 08-01PT, Talking Warrior Unit, John W. Starr Memorial Forest The sale area is approximately 50 acres in size and is located in the Southeast ¼ of the Southeast ¼ of Section 6, Township 17 North, Range 14 East, Oktibbeha County, Mississippi. This sale contains an estimated volume of 478,870 board feet of pine sawtimber and 15 cords of pine pulpwood.

Winston Forest Products, Inc. – Preston, MS $153,997.00 Henry E. Davis & Sons – DeKalb, MS $151,110.00

Shuqualak Lumber Company – Shuqualak, MS $143,320.00 Rives Brothers Logging – Sturgis, MS $132,807.40 Rusty Lewis Forestry Services – Aliceville, AL $119,070.48 McShan Lumber Company – McShan, AL $109,293.50 Evergreen Land & Timber Co., Inc. – Louisville, MS $102,626.00 Van’s Logging, Inc. – Louisville, MS $96,510.00

Hankins Lumber Company, Inc. – Grenada, MS $74,221.00

Timber Sale No. 08-02PT, Noxubee Unit, John W. Starr Memorial Forest The sale area is approximately 50 acres in size and is located in the Northwest ¼ of the Northwest ¼ of Section 8, Township 16 North, Range 14 East, Winston County,

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Page 2 of 5

Mississippi. This sale contains an estimated volume of 410,104 board feet of pine sawtimber and 10 cords of pine pulpwood.

Henry E. Davis & Sons – DeKalb, MS $122,584.40 Shuqualak Lumber Company – Shuqualak, MS $117,770.00 Rives Brothers Logging – Sturgis, MS $115,069.00 Winston Forest Products, Inc. – Preston, MS $112,992.00 Rusty Lewis Forestry Services – Aliceville, AL $107,117.50 Van’s Logging, Inc. – Louisville, MS $93,688.00 Hankins Lumber Company, Inc. – Grenada, MS $79,158.00

Timber Sale No. 08-03PT, Noxubee Unit, John W. Starr Memorial Forest This sale contains an estimated volume of 926,300 board feet of pine sawtimber and 20 cords of pine pulpwood. The sale area is approximately 160 acres in size and is located in Lots 14, 15, 18, and 19 of Section 5, Township 16 North, Range 14 East, Winston County, Mississippi.

Winston Forest Products, Inc. – Preston, MS $278,998.00 Rives Brothers Logging – Sturgis, MS $242,852.05 Henry E. Davis & Sons – DeKalb, MS $238,978.00 Forest Sales, Inc. – Philadelphia, MS $205,128.00 Hankins Lumber Company, Inc. – Grenada, MS $201,742.00

3. UM – Lease Approval

The University of Mississippi requests approval to lease approximately five (5) acres of land located in Section 29, Township 8 South, Range 3 West, Lafayette County, Mississippi to the UMAA Foundation for a term not to exceed three (3) years, with title to the subject property reverting to the university with all improvements thereon at the end of the term. The UMAA Foundation plans to construct a fourteen million dollar ($14,000,000) basketball facility on the property for the benefit of the university. The university further recommends that the Board grant authority to the Chancellor of the university to execute the appropriate lease agreement. The documents have been reviewed and approved by the Attorney General’s Office.

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Page 3 of 5

4. USM – Purchase of Property

The University of Southern Mississippi requests approval to purchase property located at 502 North 35th Avenue in Hattiesburg, Mississippi. The property is a part of the Master Plan future campus expansion. The purchase price is $115,000 which is less than the average of the two (2) appraisals, ($115,000 and $128,000). The property appraisals and environmental report are on file with the Office of Real Estate and Facilities. The documents have been reviewed and approved by the Attorney General’s Office.

STAFF RECOMMENDATION: Board staff recommends approval of Items 1-4.

5. SYSTEM ADMINISTRATION - Real Estate and Facilities Items Subsequent to the May 21-22, 2008 Board Meeting (Information Item)

In accordance with Board Policy §904B, Board Approval, Mr. Scott Ross as chair of the Real Estate and Facilities Committee, approved the following item:

Mississippi State University – IHL 205-237, Parking Lot South Mississippi State University requests approval to increase the budget of the Parking Lot South project from $800,000 to $932,000 for an increase in the amount of $132,000 and to award the contract to Gregory Construction, the lower of four (4) bidders in the amount of $879,933. The total project budget is $932,000. Funding is available from university sources. 6. SYSTEM ADMINISTRATION - Real Estate and Facilities Items Subsequent to the May 21-22, 2008 Board Meeting (Information Items)

Alcorn State University GS 101-227, Dining Facilities: The Board staff approved Change Order #11 for a credit in the amount of $22,653 with an additional 105 days added to the contract of Evans Johnson and Sons Construction. Approval was requested from the Bureau of Building, Grounds and Real Property Management. The project budget is $14,640,597.24. Funding is available from HB 1634, Laws of 2006. Mississippi State University GS 105-323, Roof Replacements-Phase I: The Board staff approved the award of a contract to E. Cornell Malone Corporation, the lower of six (6) bids in the amount of $737,800. Approval was requested from the Bureau of Building, Grounds and Real

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Page 4 of 5

Property Management. The project budget is $950,000. Funding is available from HB 1634, Laws of 2006. Mississippi University for Women GS 104-164, Fine Arts Improvement: The Board staff approved Change Order #1 to increase the contract time in the amount of ten (10) days for saw cutting and removing portions of first floor slab; excavating and replacing unusable sanitary waste systems; and backfilling, compacting, testing and replacing removed concrete. Approval was requested from the Bureau of Building, Grounds and Real Property Management. The total project budget is $5,108,580. Funding is available from FEMA, MEMA and the Bureau of Building, Grounds and Real Property Management. IHL 204-121, Kincannon Air Handlers: The Board staff approved the close-out for this project and the appointment of Atherton Consulting Engineers as the project professional. The project will become a Bureau of Building, Grounds and Real Property Management project. University of Mississippi GS 107-277, Old Chemistry Renovations: The Board staff approved Change Order #3 in the amount of $13,773 with one (1) additional day to the contract of Panola Construction Company for electrical room work in the bathrooms and basement areas. The project budget is $4,000,000. Funding is available from SB 2010, Laws of 2004. IHL 207-258, New Law School: The Board staff approved the award of a contract to W.G. Yates & Sons Construction Company, the lower of six (6) bidders, with a base bid of $35,768,000, Alternate #1 - $544,000, Alternate #2 - $58,000 and Alternate #3 - $274,000 for a total of $36,644,000. The project budget is $50,000,000. Funding is available from HB 246, Laws of 2007, and university self-generated sources. University of Mississippi Medical Center IHL 209-502, Firewall Renovation Phase 02 – Phase III: The Board staff approved Change Order #1 in the amount of $24,221 with no additional days to the contract time for the resolution of issues of non-compliant to properly rated existing doors and frames – First Floor and basement areas connecting to new Adult Hospital. The change order will also replace the existing ceiling with rated gypsum board ceiling rather than making repairs to fire walls in non-accessible attic areas. The project budget is $350,000. Funding is available from UMMC self-generated sources. IHL 209-504, Cath Lab S027 and Pavillion Cath Lab Renovations: The Board staff approved the award of a contract to Flagstar Construction Company, the lower of five (5)

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Page 5 of 5

bidders in the amount of $317,500 for renovations. The project is developed as two separate bid packages. The project budget is $1,067,239. Funding is available from self-generated sources. IHL 209-508, R019 CT Scanner Renovations: The Board staff approved the award of a contract to Sunbelt General Contractors, the lower of three (3) bidders, in the amount of $272,900. The project budget is $310,000. Funding is available from self-generated sources IHL 209-509, O.R. Endovascular Suite Renovations: The Board staff approved the Schematic Design documents as submitted by Simmons Associates, AIA, design professional. The total project budget is $641,000. Funding is available from self-generated sources. The University of Southern Mississippi Removal of Building #302-Montague Property: The Board staff approved the request to remove Building #302, Montague Property located at 3610 Pearl Street, Hattiesburg, Mississippi from the Mississippi Buildings Inventory and requested approval by the Bureau of Building, Grounds and Real Property Management. The forms required by DEQ and MDAH are on file with the Office of Real Estate and Facilities. IHL 208-258, MM Roberts Stadium Expansion and Renovation: The Board staff approved Change Order #13 to add super stage pockets, add lockers, change suite level duct conflict and add an enclosed breaker to feed a panel. The project budget is $32,171,670.38. Funding is available in the project budget from the USM Athletic Foundation. IHL 208-282, Renovation of President’s Home: The Board staff approved Change Order #3 in the amount of $4,882.58 for installations, upgrades and modifications to various rooms. Funding is available from university sources in the amount of $300,000. IHL 210-236, Marine Environmental Research Laboratory: The Board staff approved Change Order #1 in the amount of $135,546 for the addition of built-in environmental chambers for research. Funding is available in the amount of $2,442,775, through Katrina Foreign Contributions Award.

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GOVERNANCE/LEGAL June 17-19, 2008

Page 1 of 31 1. UMMC – APPROVAL TO SETTLE TORT CLAIM

The University of Mississippi Medical Center is seeking Board approval for settlement of Tort Claim No. 1263.

STAFF RECOMMENDATION: Board staff recommends approval of this item.

2. UMMC – APPROVAL TO SETTLE TORT CLAIM

The University of Mississippi Medical Center is seeking Board approval for settlement of Tort Claim No. 1217.


3. USM – APPROVAL TO SETTLE A WORKERS’ COMPENSATION CASE

The University of Southern Mississippi seeks approval to settle the case styled Mark Maneval v University of Southern Mississippi. STAFF RECOMMENDATION: Board staff recommends approval of this item.

4. SYSTEM ADMINISTRATION – APPROVAL OF INTER-AGENCY

AGREEMENT

Board staff recommends approval of an inter-agency agreement between the Board and the Office of the Attorney General for the provision of legal services for the Fiscal Year 2009.

STATE OF MISSISSIPPI COUNTY OF HINDS

INTER-AGENCY AGREEMENT FOR THE PROVISION OF LEGAL SERVICES

FOR THE FISCAL YEAR 2009 THIS AGREEMENT is entered into on the day and date hereinafter recited between the Office of the Attorney General, who may be hereinafter known as “OAG” and the Board of Trustees of State Institutions of Higher Learning which may be hereinafter known as “IHL”,

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Page 2 of 31 both of which may be hereinafter known as “Parties”, for the purpose of providing legal services to IHL and its subordinate institutions during the fiscal year beginning July 1, 2008. WHEREAS, the Attorney General is the Chief Legal Officer of the State of Mississippi and is charged by the Constitution with the management of legal affairs for the State; and, WHEREAS, it is the intent of the Parties that legal representation shall be provided on a system-wide basis; and, WHEREAS, the Parties agree that such representation shall be supervised by the Attorney General and must afford consistent representation to each institution in the system; and, WHEREAS, the IHL shall maintain oversight over the responsibilities of the attorneys approved by the OAG, NOW, THEREFORE, IT IS AGREED AS FOLLOWS: FOR AND IN CONSIDERATION of the mutual benefits which will accrue to each Party from this Inter-Agency Agreement, which may be hereinafter known as the “Agreement”, and the mutual promises and covenants made and set out herein by the Parties, and other good and valuable consideration, the receipt and sufficiency of which is all hereby acknowledged, the Office of the Attorney General and the Board of Trustees of State Institutions of Higher Learning does hereby agree and contract that: 1. Upon payment by IHL of the consideration stated in the Agreement, the Office of the Attorney General will: a. Provide at all times no less than three (3) full-time staff attorneys

(either Assistant Attorneys General or Special Assistant Attorneys General) to assist the Commissioner of Higher Education, the Board of Trustees, the Board Staff, and the various institutions of the IHL system in managing and conducting the day-to-day legal affairs of IHL, its offices and subordinate institutions. Said attorneys, one of whom shall be designated “Section Head” shall comprise the “IHL Education Section” of the OAG and shall be located at IHL offices or such places as may be designated by IHL.

b. Properly supervise, direct, and control the attorneys provided

pursuant to the terms and conditions of this contract, pursuant to

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OAG’s statutory duties found in Miss. Code Ann., §7-5-1, et seq., as amended, and other applicable statutes.

c. Provide personnel such as secretarial, clerical and support staff,

and updated computer hardware and software, as shall be necessary in the premises for the faithful performance of all terms and conditions of this contract.

d. Provide, for the supervision of the attorneys procured to satisfy the

terms and conditions of this contract, a section head, who shall be appointed by OAG, subject, however, to the approval, pursuant to Subsection (e), below, of IHL. The individual chosen as Section Head of the IHL Education Section shall be designated either an Assistant Attorney General or a Special Assistant Attorney General, who shall be assigned to IHL and the Commissioner of Higher Education. The individual shall be an attorney of the highest caliber, with extensive experience in administrative law, public procurement, the law of higher education and litigation. The individual so chosen by the Attorney General shall act as the legal advisor to IHL and the Commissioner of Higher Education and the Institutions. The individual chosen shall coordinate the legal affairs of IHL with the Commissioner and those attorneys assigned to the IHL Board Office as well as those authorized by paragraph (2) hereof. The individual shall further coordinate the legal activities of the above attorneys to provide for effective legal representation to IHL. Expertise will be developed and maintained among the attorneys assigned to IHL in areas necessary to provide quality and effective legal representation.

e. Assign attorney personnel procured to satisfy the terms and

conditions of this contract after:

i. The attorneys have been recommended in writing by OAG to the Board; and

ii. The Board’s designee(s) has participated in an

interview and selection process for said attorneys.

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Page 4 of 31 In the event that circumstances require the services of legal counsel in addition to that provided herein, the Attorney General may make a temporary assignment of such counsel, subject to the prior approval of the Legal Committee of the Board of Trustees or the prior approval of the President of the Board, Chairperson of the Legal Committee, and the Commissioner.

2. Any State institution of higher learning may request the OAG to perform legal services relating to patents, trademarks and copyrights separate and apart from paragraph 1 above. Upon approval of a request by the OAG, such services will be performed by an attorney who is registered to practice before the U.S. Patent and Trademark Office. The OAG shall have the authority to approve and associate other legal counsel when appropriate for specific purposes relating to international or foreign patents, trademarks, and copyrights. The OAG will provide monthly invoices to each institution identifying in reasonable detail the services performed and the attorney(s) who performed the services. Payment will be made by the institution to the OAG within 45 days of the invoice date.

3. Mississippi State University, the University of Mississippi, the University of

Southern Mississippi, the University of Mississippi Medical Center, the Mississippi University for Women, Jackson State University, and such other institutions as authorized by the Board and approved by the Attorney General may employ or retain, at their own expense, legal representation in excess of that hereinabove provided. Each of said attorneys so engaged shall be, subject to the approval of the Attorney General, designated as a Special Assistant Attorney General. Each attorney so engaged shall administer the day-to-day legal affairs of their client, and coordinate same with the Section Head of the Attorney General’s Education Section at the IHL Office and shall make such reports to OAG as said Attorney General may require. Each campus based attorney may have assigned to them other duties by the chief executive officer.

4. An annual litigation report shall be furnished to IHL through the Office of the

Commissioner of Higher Education. The report will be submitted by the OAG by July 31, 2008, summarizing the services provided by OAG. This Annual Report shall document hours worked by the Education Section attorneys, broken down by institution and type of service. The Report shall be reviewed by the parties and may be used as a basis for future contractual relations.

5. IHL agrees to:

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a. Provide office space for three (3) attorneys assigned by OAG in performance of this contract, in the Education and Research Center, or at such other place as may be deemed necessary and proper by the Commissioner of Higher Education.

b. Pay unto OAG, one-half in July and one-half in

January, a total yearly sum not exceeding Four Hundred Thirty Four Thousand, Eight Hundred Seventy Two and 71/100 Dollars ($434,872.71) for the good and faithful performance of all of the terms and conditions of this contract. The contract amount includes Seven Thousand, Five Hundred Dollars ($7,500.00) for reimbursement of registration, travel and other expenses relating to continuing legal education courses and seminars addressing issues relevant to higher education attended by IHL Education Section attorneys.

c. Provide all necessary supplies, legitimate travel

expenses and other costs. 6. Both OAG and IHL agree: a. That private counsel, for certain purposes, may be

selected and employed from time to time by IHL only with prior approval of the Attorney General.

b. That this Agreement is terminable at the instance of

either Party upon the giving of thirty (30) days written notice to the other Party.

c. That this Agreement may be amended in writing if

both parties consent in writing to amendment thereof.

d. That the terms and conditions of the Agreement are

severable. Should any terms or conditions of this Agreement be invalidated by a court of competent

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jurisdiction, the other terms and conditions shall remain in full force and effect unless modified or terminated as hereinabove set out.

e. That any written notice required herein may be

made by mailing said notice by certified mail, United States Mail, postage prepaid, to the following:

OFFICE OF THE ATTORNEY GENERAL INSTITUTIONS OF HIGHER LEARNING Jim Hood Dr. Thomas C. Meredith Attorney General Commissioner of Higher Education Post Office Box 220 3825 Ridgewood Road Jackson, Mississippi 39205 Jackson, Mississippi 39211 WITNESS OUR SIGNATURES, this the _____ day of _______________, 2008. BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING _____________________________________________ President BOARD OF TRUSTEES OF STATE INSTITUTIONS OF HIGHER LEARNING _____________________________________________ Dr. Thomas C. Meredith Commissioner of Higher Education OFFICE OF THE ATTORNEY GENERAL ____________________________________________ Jim Hood, Attorney General


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5. SYSTEM ADMINISTRATION –APPROVAL FOR FIRST READING OF

PROPOSED AMENDMENTS TO BOARD POLICY 301.0806 UNIVERSITY FOUNDATION/AFFILIATED ENTITY ACTIVITIES

In light of the recommendations within PEER Report #500 concerning the Board’s foundation/affiliated entity policy, approval is requested of the following changes to Board Policy 301.0806 for first reading.

301.0806 UNIVERSITY FOUNDATION/AFFILIATED ENTITY ACTIVITIES

Purpose of Foundations and Similar University Affiliated Entities: The requirements of this policy are to apply to all university development foundations, research foundations, athletics foundations, alumni associations and all other similar entities affiliated with any of our eight state universities. The Board of Trustees recognizes the role university foundations and other similar affiliated entities throughout the nation have in providing additional financial support for their institutions so they can achieve a level of excellence not possible through state funding and tuition alone. The Board of Trustees recognizes and appreciates the contributions made to higher education by such foundations and similar entities affiliated with the institutions of The Mississippi S state I institutions of H higher L learning, and that their goal is not to replace necessary support from the state. The Board of Trustees acknowledges that the private, independent nature of foundations and similar affiliated entities provides flexibility to the institutions of The Mississippi State Institutions of Higher Learning state universities in fiscal management and responsiveness.

The purpose of foundations and other entities affiliated with institutions of the Mississippi State Institutions of Higher Learning our state universities is to engage in raising funds and/or other activities consistent with the mission and priorities of the institutions as determined by the Institutional Executive Officers. These entities are expected to have mission statements relevant to this purpose and to adopt policies, plans, and budgets to achieve their missions. If authorized by the Institutional Executive Officer, E each institutionally affiliated entity is authorized to accept gifts, restricted and unrestricted, on behalf of that institution. The institution shall agrees, through its chief executive officer, to keep the foundation/affiliated entity apprised of its needs and priorities; the foundation/affiliated entity agrees to consider and communicate to the institution

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its ability and plans to fund those needs and priorities and accept or solicit gifts that are consistent with the institution's mission, goals, or objectives . Public Confidence: The Board of Trustees recognizes it cannot and should not have direct control over institutionally affiliated foundations/entities. These foundations/affiliated entities must be governed separately to protect their private, independent status. However, because the Board of Trustees is responsible for ensuring the integrity and reputation of the university system and its institutions and programs, it must be assured that any affiliated entity/foundation will adhere to ethical standards appropriate to such organizations in order to assure the public that it is conducting its mission with honesty and integrity and in harmony with the mission of the university. Therefore, each Institutional Executive Officer should ensure that the university development foundations, research foundations, athletics foundations, alumni associations and any other similarly affiliated entities ascribe to the following requirements in order to enhance public confidence in the foundation/entity: • Compliance with state and federal law applicable to such organizations; • Maintenance of financial and accounting records in accordance with

Generally Accepted Accounting Principles. These records shall be audited annually by a Certified Public Accounting firm and the records shall be maintained separately from the records of the affiliated institution;

• Submission of the annual audited financial statements by each November 1 [to allow compliance with Governmental Accounting Standards Board (GASB) 39] along with a list of foundation/entity officers, directors, or trustees, through their institution’s chief executive officer, to the Commissioner of Higher Education;

• Submission to the Board of Trustees of an annual report providing a detailed list of supplemental compensation which was submitted to the university for the purpose of providing additional compensation provided directly to administrators, faculty, athletic staff, and other employees;

• No form of compensation may be paid or provided to an Institutional Executive Officer by any university foundation or affiliated entity without prior approval of the Board of Trustees of State Institutions of Higher Learning. The request for approval shall come through the Commissioner to the IHL Board; and

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• Encourage formal communications between members of the Board of Trustees and directors of the various foundations/entities, to include periodic meetings between Board members, the Chief Executive Officer of the foundations'/entities’ Board of Directors, the Commissioner and the Institutional Executive Officers. ; and

• See requirements within this policy for operating agreements. The relationship between the institutions of The Mississippi State Institutions of Higher Learning state universities and the foundations/entities supporting those institutions must be based on a recognition of and respect for the private and independent nature of the foundations/entities. Transactions between an institution and its foundation/affiliated entity must be consistent with the foundation's/affiliated entity’s mission to assist and benefit the institution and must also be consistent with the institution's obligation to hold, manage, and use public property and resources to benefit the public interest. To ensure that the relationship is clearly defined, each institution shall consummate a formal written operating agreement with its affiliated foundations/entities. Therefore, each university must enter into an operating agreement with its development foundation(s), research foundation(s), athletic foundation(s), alumni association(s) and any other similar university affiliated entities. To ensure the independence of the affiliated entities, no employee of The Mississippi the Board of Trustees of State Institutions of Higher Learning shall hold a voting position on an institutionally affiliated entity board. The Board of Trustees may allow exceptions to this restriction if needed to comply with NCAA requirements or other purposes. Senior administrators of the institution should only participate on the affiliated entity’s board in an ex-officio capacity. Operating Agreement: Each institution of The Mississippi State Institutions of Higher Learning state university and their its development foundations, research foundations, athletics foundations, alumni associations and any other similar affiliated entities shall enter into a public, written operating agreement that outlines the relationship between the two entities. This agreement shall be reviewed for approval by the Board of Trustees at least every five (5) years, or whenever the operating agreement is changed, and include:

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• The services and benefits the institution and affiliated entity provide each other and any payments made, including whether institutional assets are managed by the affiliated entity;

• How gifts, grants, and endowments are accepted and accounted for; • That gifts made to an institution of The Mississippi State Institutions of

Higher Learning a state university be accounted for and ownership maintained by that institution university; that gifts made to an institutionally affiliated entity be accounted for and ownership maintained by that entity;

• That the foundation/affiliated entity agrees to consider and communicate to the university its ability and plans to fund university needs and priorities, as determined by the institutional executive officer, and accept or solicit gifts that are consistent with the university’s mission, goals or objectives, and to manage foundation/affiliated entity funds in a fiscally sound and prudent manner;

• That the university foundation/affiliated entity has a conflict-of-interest policy which must comply with all requirements of Miss. Code Ann., §79-11-269 (1972), as amended, entitled “Conflict of Interest Transaction.”

• That no form of additional compensation for an Institutional Executive Officer will be underwritten or increased by an affiliated foundation/entity without prior approval of the Board of Trustees of State Institutions of Higher Learning. The request for approval shall come through the Commissioner to the IHL Board. As to other university employees, no form of additional compensation may be provided or paid by an affiliated foundation/entity without prior approval by the Institutional Executive Officer. All such approvals by the Institutional Executive Officer must be reported to the Board of Trustees at its next official meeting.;

• That institutional input will be sought from the Institutional Executive Officer before defining the major needs and priorities for foundation/affiliated entity consideration; and

• That the foundation/affiliated entity agrees to permit periodic contract compliance reviews of the affiliation/operating agreement by the Board of Trustees of State Institutions of Higher Learning or its designee(s), to ensure compliance with the provisions of the agreement. However, any Board staff conducting the reviews shall be prohibited from examining donor records of the affiliated entity in conducting the compliance reviews; Even so, each Institutional Executive Officer is required to submit to the Board, through the Commissioner, a signed, notarized certification statement, annually, which affirmatively states that the Institutional Executive Officer or his/her designee has examined all donor records of the university’s affiliated foundations and

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entities listed on the certification statement, and that there was no evidence of any violation of the foundations’/affiliated entities’ conflict of interest policy or of IHL Board policy. In addition, Institutional Executive Officers must certify that, following a review by the Institutional Executive Officer or by his/her designee of the business transactions of the foundation/affiliated entity, there was no evidence of any violation of the foundations’/affiliated entities’ conflict of interest policy or of IHL Board policy. Institutional Executive Officers must further certify that if he/she becomes aware of any such violations by the foundations’/affiliated entities’ governing boards, officers or employees, the institutional executive officer will immediately notify the Board of Trustees, through the Commissioner, in writing; and

• That other requirements stated or implied by this policy have been followed. Board of Trustees’ Authority: As provided in Miss. Const. Art. 8, Section 213-A, the Board of Trustees has governing authority over the institutions of The Mississippi State Institutions of Higher Learning eight state universities. Under such authority, the Board of Trustees has responsibility for ensuring the public interest is served by any individual or organization established to support an institution of The Mississippi State Institutions of Higher Learning one of the eight state universities. While the Board of Trustees cannot control or direct individuals or private organizations, it has the full authority to control the activities of its agents and agencies in their relationships with such individuals or organizations. Such control extends to the regulation of participation in those organizations and the use of a name, logo, or other insignia identified with the institutions of The Mississippi State Institutions of Higher Learning state universities.


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6. SYSTEM ADMINISTRATION – APPROVAL OF AMENDMENT TO THE JUNE

20, 2007 BOARD MINUTES

The approval of the contract renewal for Dr. Robert Khayat, Chancellor of The University of Mississippi, was inadvertently left off the executive session minutes for the June 20, 2007 meeting. Board staff requests permission to amend the June 20, 2007 minutes by including the following motion: On motion by Ms. Whitten, seconded by Mr. Patterson, with Mr. Colbert and Ms. Robinson absent and not voting, the Board approved a four-year contract renewal for Dr. Robert Khayat, Chancellor of The University of Mississippi, effective July 1, 2007. STAFF RECOMMENDATION: Board staff recommends approval of this item.

7. UM – APPROVAL OF AFFILIATION AGREEMENT

The University of Mississippi seeks the Board’s approval of an affiliation agreement with the University of Mississippi Foundation, a Mississippi non-profit corporation that has existed since 1973 and which supports the university’s development efforts and assists the university by managing its endowments, among other things. The proposed agreement complies with the requirements of Board Policy 301.0806 and is similar to the agreement approved by the Board in November 2006. The chancellor recommends that the Board approve this agreement and authorize him to execute it on behalf of the university.

AFFILIATION AGREEMENT BETWEEN

UNIVERSITY OF MISSISSIPPI AND THE

UNIVERSITY OF MISSISSIPPI FOUNDATION

This Agreement is made and entered into by and between the University of Mississippi, a

body corporate and politic of the State of Mississippi (the “University”), and the University of

Mississippi Foundation, a not-for-profit corporation duly chartered pursuant to the laws of the State

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of Mississippi (the “Foundation”), on the dates set forth below to be effective July 1, 2007 and

expiring on June 30, 2012. This Agreement is designed to govern the relationship between the

University and the Foundation by setting forth the terms and conditions under which the University

will provide certain support and services for the Foundation and the Foundation will provide certain

support and services for and on behalf of the University.

RECITALS

The University

The University was chartered on February 24, 1844. Its first academic session opened on

November 6, 1848, with a faculty of four offering instruction in a general curriculum in the liberal

arts. Since that time, the University has grown and has added professional, graduate, and specialized

schools to its original College of Liberal Arts, including The School of Law, the School of

Engineering, the School of Education, the School of Medicine, the School of Pharmacy, the

School of Business Administration, the Graduate School, the School of Nursing, the School of

Health Related Professions, the School of Dentistry, the School of Accountancy, and the School of

Applied Sciences. The University offers undergraduate, graduate, and professional degrees on its

main campus in Oxford, through its satellite campuses in Tupelo and Southaven, and through The

University of Mississippi Medical Center in Jackson, Mississippi.

In the fall of 2006, total enrollment at the University exceeded 17,000 students. In an

effort to create a margin of excellence, generous alumni and friends of the University have

contributed private funds to provide scholarships for the University’s students, support for its

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faculty, enhancement for its programs, and improvements to its physical facilities. On June 30,

2007, the productive endowment principal of the University reached a total of $494.7 million.

Of this amount, the University held $74.7 million; the Foundation held $281.2 million; The

University of Mississippi Medical Center held $62.9 million; and trusts administered by others

for the benefit of the University held $75.9 million.

The University has an active fund-raising and development program, which is housed in

the Office of Development. This office is supported in its efforts by the Office of Development

Services. The University wishes to provide office space, enhanced computer capabilities, and

assistance to these two offices in the identification of donors, solicitation of donations,

acknowledgment and accounting of contributions, and maintenance of donor biographical (with

alumni association), financial, and contribution records, all of which the University believes the

Foundation can provide.

The University is recognized by the Internal Revenue Service as having tax exempt status

under Section 501(c)(3) of the U.S. Internal Revenue Code of 1986, as amended.

(B) The Foundation

The Foundation is a private not-for-profit charitable and civic improvement corporation

created under and by virtue of the laws of the State of Mississippi on July 31, 1973. Its Charter

of Incorporation is recorded in Book 204 at Page 360 of the Records of Incorporations in the

Office of the Secretary of State of the State of Mississippi.

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The purposes for which the Foundation was created are set forth in Paragraph 6 of its

Charter and include, among others: to operate exclusively for the benefit of The University of

Mississippi and its students, alumni, faculty, and staff; to promote, encourage, and assist all

forms of educational, scientific, literary, research, and service activities provided by the

University; to receive, solicit, accept, hold, administer, invest, and disburse any and every kind

of property in support of the University’s educational, scientific, literary, research, and service

purposes; to use such property, or the income there from, in aiding, supplementing, improving,

and enlarging the educational, scientific, literary, research, and service facilities and activities of

the University, including the supplementing of salaries of professors and research specialists,

acquiring and operating laboratory equipment, and erecting, renovating, or repairing buildings; to

establish scholarships; to provide for advanced study by faculty and students; to pay expenses,

fees, or honoraria for visiting lecturers; to invest and reinvest the principal and income of all

monies received; to buy, sell, own, lease, operate, transfer or otherwise dispose of real and

personal property; to purchase and maintain liability insurance to protect the corporate assets;

and generally to support, promote, and assist the educational, cultural, and physical development

of the students, faculty, staff, and alumni of the University. The Foundation is recognized by the

Internal Revenue Service as having tax exempt status under Section 501(c)(3) of the U.S.

Internal Revenue Code of 1986, as amended.

The Foundation owns certain real property situated at 406 University Avenue, Oxford,

Lafayette County, Mississippi, referred to as “Brandt Memory House.” The offices of the

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Foundation are located in this facility, which adjoins, but is not a part of, the campus of the

University.

Currently, Wendell W. Weakley is President and Chief Executive Officer (the “CEO”) of

the Foundation. Sandra Guest, Vice-President/Secretary of the Foundation; Lisa Chow,

Treasurer/Controller; along with other support staff who are also employed by the Foundation.

The Foundation pays the salaries and fringe benefits of Foundation employees.

The Foundation presently receives valuable assistance in its fund-raising and support

service efforts from employees of the University and contracts for services for a number of these

individuals in the functional area of development services through contributions to the

University, which are then disbursed through the University’s payroll system. At the present

time, eight University employees work within the University’s Office of Development Services

as shown on Exhibit A. These employees provide services to the Foundation in fulfilling its

duties under this Agreement.

The Foundation provides valuable assistance to the University in its fund-raising efforts.

It actively solicits donations to be used for the benefit of the University’s faculty, staff, and

students; it receipts, acknowledges and accounts for donations made to the University or to the

Foundation for the benefit of the University; it provides office space for a number of University

employees; and it develops and maintains computer records containing biographical (with

alumni association), financial, and contribution records pertaining to donors. The Foundation

owns and manages principal endowment funds as noted above of June 30, 2007, in the amount of

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$281.2 million. It also assists the University, The University of Mississippi Alumni Association,

and The University of Mississippi Medical Center and The UMAA Foundation, Inc. in the

investment of endowment funds through the Joint Committee on Investments. As part of its

fund-solicitation and asset management activities, the Foundation retains personnel experienced

in both planning and management of private contributions made to the Foundation for the benefit

of the University.

(C) Purpose of this Agreement

Both the University and the Foundation wish to provide support and services for and to

receive support and services from each other. The University and the Foundation enter into this

Agreement for the purpose of formalizing the relationship between the respective entities by

setting forth the manner in which this support and these services will be provided.

In consideration of the mutual covenants, promises, and conditions set forth in this

Agreement, and for other good and valuable consideration, the adequacy of which is hereby

acknowledged, the University and the Foundation agree as follows:

TERMS AND CONDITIONS

1.0 Foundation Support of and Obligations to the University

1.1 The Foundation’s primary purpose is to provide support to the University in

accord with the provisions of its Articles of Incorporation, Charter, and By-laws, which support

includes, but is not limited to, researching, raising, receiving, acknowledging, investing,

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accounting for, and administering funds for the University to use for its charitable, scientific, and

educational purposes.

1.2 The Foundation, acting through its Board of Directors and staff, shall assist the

University’s Office of Development in its fund-raising activities and development programs with

individuals, corporations, foundations, governmental, and other external organizations.

1.3 The Foundation, acting through its Board of Directors and staff, shall solicit funds

for the purchase of University equipment and supplies; for the construction, renovation, and

improvement of the University’s physical facilities; for the support of faculty, staff, and student

travel and research; for the support of faculty professorships, lectureships, and endowed chairs;

for the support of student scholarships; and for the support of other educational, research,

cultural, scientific, public service and charitable programs and activities; and shall transfer funds

as it deems advisable in support of these purposes, as well as for all lawful purposes of the

University. When soliciting funds on behalf of the University, The Foundation agrees to accept

only those gifts that are consistent with the University’s missions, goals, and obligations.

1.4 The Foundation shall receipt, acknowledge, and express appreciation for all

contributions of donors made on behalf of the University or of the Foundation, and shall keep

accurate and current records of all such contributions made directly to the University or to the

Foundation.

1.5 The Foundation shall contract for services with the University annually a percentage

of costs incurred by all University employees who perform work for the Foundation and under

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the direction of Foundation employees, which are attributable to Foundation work. At the

present time, the Foundation and the University agree that a portion of the cost incurred by

utilizing those University employees who provide services for Foundation in its fund-raising and

developmental efforts shall be reimbursed by Foundation to the University. The Foundation

shall pay to the University on June 30, reimbursement as mutually agreed upon for performance

of these services to the University. (In fiscal year 2007, this amount was $226,093 as noted on

Exhibit A).

1.6 The Foundation shall make all such payments to the University for the benefit of

University employees providing services for the Foundation by deposit in the University’s

payroll system upon written request of the appropriate University official.

1.7 The Foundation shall reimburse the University for expenses the University incurs

as a result of Foundation operations, if those expenses would not otherwise have been incurred

by the University, specifically including telephone, mail, and other such services provided on a

monthly basis. The rate shall be the rate that is charged to University departments for such

services.

1.8 The Foundation shall provide the University, on a quarterly basis, a summary of

all its gifts to the University and expenditures made on behalf of the University during the

preceding quarter.

1.9 The Foundation shall maintain an operating reserve to ensure continuity of its

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business operations in periods of economic uncertainty. The Foundation shall maintain its

financial and accounting records in accordance with generally accepted accounting principles

applicable for its industry. The Foundation shall also have an annual audit performed of its

finances and operations by an independent public accounting firm and shall make this audit

available for review by the University by November 1 of each year during the life of this

Agreement. (The audit of the Foundation’s books is presently being performed on an annual

basis by KPMG.)

1.10 The Foundation shall provide for the bonding of its officers and employees and

for general liability insurance and directors’ and officers’ liability insurance.

1.11 The Foundation shall have a conflict-of-interest policy.

1.12 The Foundation shall immediately deposit into the appropriate University account

any funds which are sent to the Foundation but which are clearly intended to be funds designated

for a University account. In such an instance, the Foundation shall issue on behalf of the

University a University development receipt.

1.13 The Foundation shall provide the University with approximately 11,500 square

footage of office space in Brandt Memory House and Carriage House at the prevailing rate for

comparable office space in Oxford, Mississippi, as well as parking privileges for University

employees performing work on behalf of the Foundation. The rental fee charged the University

for this office space shall include the cost of all utilities other than telephone service charges,

which charges shall be paid separately by the University. The parties agree at this time that this

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charge will be $11.45 per square footage of space for a total sum of $131,675 per year. The $1

per square foot rental increase for fiscal 2008 recognizes the construction renovation and

additional office space added which exceeded $150,000 incurred by the Foundation on behalf of

the Development staff. Future increases are anticipated to be based on approximate increases in

market rates.

1.14 The Foundation shall permit the University to use Brandt Memory House for

appropriate University functions consistent with the terms set forth in its Brandt Memory House

Rental Agreement. A separate contract is to be executed for each official use of Brandt Memory

House. The Foundation serves as host for many functions sponsored by the Office of the

Chancellor of the University and will continue to do so.

1.15 The Foundation shall perform any and all other acts and activities on behalf of the

University, as the Foundation deems appropriate, in carrying out the purposes and mission of the

University, so long as consistent with the governing documents of the Foundation.

2.0 University’s Support of and Obligations to the Foundation

2.1 The University shall provide support services to the Foundation of the type

provided to University departments on a cost reimbursement basis including, but not limited to,

utilities, telephone, fiber optic Internet cable connection, custodial services, printing and

publication services, motor pool, and, to the extent permitted by law, use of the University mail

system and protection of the University Police Department.

2.2 The University shall provide the CEO of the Foundation, and any such additional

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Foundation employees, staff identification cards, parking privileges, admittance to athletics and

entertainment events, health services benefits, and access to the University’s library and to its

recreation and fitness programs, at the same rates and under the same terms as those benefits and

facilities are made available to University administrators and other employees.

2.3 The University designates the Foundation as the primary entity for receipting,

acknowledging, accounting for, managing, and investing its endowment funds, as well as for

researching, identifying, and maintaining biographical and giving records of potential and actual

donors. The University and the Foundation agree that the sum of $216,000 is a fair and

appropriate amount for the University to pay to the Foundation for the performance of these

services. The University agrees to pay to the Foundation on June 30, 2008, the sum of $216,000

for the Foundation’s performance of these services for the time period July 1, 2007, through June

30, 2008. Adjustments to this sum in fiscal years 2009-2012 are expected to be based on local

cost of living adjustments, unless otherwise agreed to by the University Chancellor and the

Foundation President.

2.4 The University shall pay to the Foundation on June 30, 2008, the sum of

$131,675, for the annual rental fee for use of office space in Brandt Memory House and Carriage

House, which is referred to in Section 1.1.13 above.

2.5 The Chancellor of the University shall serve ex officio as a non-voting member of

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the Foundation’s Board of Directors. No other University employee or other persons directly or

indirectly employed by the University’s governing board shall serve as a voting member of the

Foundation’s Board of Directors.

2.6 Annually the Chancellor of the University shall certify to the Foundation a list of

University employees who are authorized to request disbursements from the Foundation.

Requests by a duly certified University employee shall constitute a representation or certification

by the University employee that the disbursement being requested has been approved in accord

with established University procedures. The Foundation shall be relieved of any liability arising

from a disbursement made pursuant to the provisions of Section 2.6 of this Agreement.

2.7 The Chancellor of the University shall submit a request to the Foundation for

utilization of unrestricted gifts received by the Foundation in the following fiscal year. The

Foundation shall, consistent with the goals and priorities established by the University,

incorporate the University’s request into its operating budget and may allocate unrestricted gifts

accordingly to the extent funds are available.

3.0 Use of University’s Name and Registered Marks and Logos

3.1 The University’s name and registered marks and logos have great economic and

public relations value to the University, its faculty, staff, alumni, and students.

3.2 In order to protect and control the use of its name and registered marks and logos,

as well as to derive commercial benefit from the use thereof, the University has created an

official licensing program. Collegiate Licensing Company (“CLC”) is the licensing agent for the

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University, pursuant to a certain contract entered into between the University and CLC on July 1,

2001, as amended.

3.3 The University grants permission to Foundation to use its name, as well as its

registered marks and logos, in connection with Foundation’s lawful business and activities, so

long as such use conforms to and is consistent with the operating principles of the University’s

licensing program and the existing contract between the University and CLC, a copy of which

contract has been provided the Foundation’s CEO.

4.0 Limitations on the Foundation

4.1 The Foundation shall make payments or expense reimbursements to a University

employee or student only upon prior approval in writing of the appropriate University official.

4.2 The Foundation shall make any payments for the support of faculty or staff

salaries, payments of funds awarded through outstanding faculty and staff awards, and payments

awarded as research stipends for faculty or staff to the University for disbursement by the

University through its payroll system. Reimbursement by the Foundation to University faculty,

staff, or students for expenses, such as moving expenses, travel, hosting of University guests,

meals, and comparable expenses, shall be made by the Foundation directly to the involved

employee or student.

4.3 The Foundation agrees that no salary supplement or other form of compensation

for the Chancellor will be underwritten or paid by the Foundation without approval by the Board

of Trustees of Institutions of Higher Learning.

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4.4 If the Foundation should cease to exist, its Board of Directors shall, in

consultation with the University, dispose of the Foundation’s assets, consistent with the

provisions set forth in Paragraph 14 of the Foundation’s Charter, as well as applicable state and

federal laws.

4.5 The Foundation shall not assign or delegate the authority to use University’s name

or registered marks or logos to any person or entity without the written approval of the

Chancellor of the University and the Director of the University’s Licensing Program.

4.6 The Foundation agrees to cease using University’s name, marks, and logos in the

event that the Foundation dissolves, ceases to be a non-profit corporation, ceases to be

recognized by the Internal Revenue Service as a tax exempt entity under Section 501(c)(3) of the

Internal Revenue code, or this Agreement is terminated.

5.0 Effect of Agreement; Modification

5.1 This Agreement and its exhibits contain all the terms and conditions agreed upon

by the University and the Foundation, and it may be amended only in writing signed by an

authorized representative of both parties.

6.0 Term

6.1 The term of this Agreement shall be for a period of five years, beginning on July

1, 2007 and ending on June 30, 2012.

6.2 Either party may terminate this Agreement upon providing ninety days’ written

notice to the other party.

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7.0 Compliance with Applicable Law and Non-Discrimination

7.1 The Foundation agrees to comply with all applicable state and federal laws,

agrees not to discriminate in any manner on the basis of sex, race, color, national origin, age,

religious belief, disability, status as a disabled veteran, or veteran of the Vietnam era, and agrees

to comply with all non-discriminatory laws and policies that the University promulgates and to

which the University is subject.

8.0 Notice

8.1 Any notice to either party hereunder shall be in writing signed by the party given

it, and shall be deemed given when mailed postage prepaid by U.S. Postal Service first class,

certified or overnight mail, or when sent by Federal Express or a comparable service, or hand-

delivered, when addressed as follows:

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To the University: To the Foundation:

Robert C. Khayat, Wendell W. Weakley, Chancellor President and CEO The University of Mississippi The University of Mississippi Foundation Lyceum 406 University Avenue University, MS 38677 Oxford, MS 38655

or to such other addressee as may be hereafter designated by written notice.

9.0 Liability

9.1 Neither the University nor the Foundation shall have any liability for the

obligations, acts, or omissions of the other party.

9.2 The Foundation is an independent entity from the University and is not governed

by the University’s Board. Accordingly, to the extent permitted by the laws of the State of

Mississippi applicable to a public institution of higher learning, each party to this Agreement

shall be responsible for its own obligations, acts, or omissions.

10.0 Assignability

10.1 This Agreement shall not be assigned or otherwise transferred by either party

without the prior written consent of the other, which consent shall not be unreasonably withheld.

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IN WITNESS WHEREOF, the University and the Foundation, acting through the

Chancellor of the University and the President and Chief Executive Officer of the Foundation,

respectively, execute this Agreement on this the 1st day of July, 2007.

THE UNIVERSITY OF MISSISSIPPI THE UNIVERSITY OF MISSISSIPPI FOUNDATION

By: ____________________________ By: _______________________________ Robert C. Khayat, Chancellor Wendell W. Weakley, President and Chief Executive Officer

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ACKNOWLEDGMENT State of Mississippi County of Lafayette

Personally appeared before me, the undersigned authority in and for the jurisdiction

aforesaid, Robert C. Khayat, known by me to be the Chancellor of The University of Mississippi,

who executed the aforesaid Agreement, on this the ______ day of ___________________, 2008,

on behalf of The University of Mississippi, being duly authorized so to do.

_______________________________ Notary Public

My Commission Expires: _______________________ ACKNOWLEDGMENT State of Mississippi County of Lafayette

Personally appeared before me, the undersigned authority in and for the jurisdiction

aforesaid, the within named Wendell W. Weakley, known by me to be the President and Chief

Executive Officer of The University of Mississippi Foundation, who executed the aforesaid

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Agreement on this the ________ day of __________________, 2008, for and on behalf of The

University of Mississippi Foundation, being duly authorized so to do.

_________________________________ Notary Public

My Commission Expires: ________________________

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Exhibit A

Fiscal year 2007 Reimbursement from Foundation to the Univeristy of Mississippi

UM Employees performing service for the UM Foundation

UM Employee Comp. Expense UMF Time Total UMF Less UMF Net DueUMF (1) UM (2) Total Fringes(3) Total Percentage (4) Expense Paid UM (5)

Ron Guest 23,720$ 72,197$ 95,917$ 28,775$ 124,692$ 90.0% 112,223$ 23,720$ 88,503$ Christi Bland 7,305 40,103 47,408 14,222 61,630 50.0% 30,815 7,305 23,510 Lee Ann Cooper 11,025 32,776 43,801 13,140 56,941 25.0% 14,235 11,025 3,210 Anna Lindsey - 39,731 39,731 11,919 51,650 90.0% 46,485 - 46,485 Tiffany Owens - 23,430 23,430 7,029 30,459 25.0% 7,615 - 7,615 Teresa Hasse - 24,973 24,973 7,492 32,465 25.0% 8,116 - 8,116 Sylvia Finley - 24,817 24,817 7,445 32,262 50.0% 16,131 - 16,131 Donna Faulkner - 25,017 25,017 7,505 32,522 100.0% 32,522 - 32,522

42,050$ 283,044$ 325,094$ 97,528$ 422,622$ 268,143$ 42,050$ 226,093$

(1) Represents compensation paid by the UM Foundation to UM for the designated employee(2) Represents amount per UM payroll(3) Estimated at 30%(4) Represents an estimate of time spent by UM employees on UM Foundation operations.(5) Pursuant to the UM Affiliation Agreement, this amount will be paid June 30, 2007

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ADMINISTRATION/POLICY June 17-19, 2008

Page 1 of 2 1. SYSTEM ADMINISTRATION - APPROVAL OF THE CONSULTANT FIRM

FOR MISSISSIPPI VALLEY STATE UNIVERSITY’S PRESIDENTIAL SEARCH Approval is requested for the hiring of a consulting firm for the Mississippi Valley State

University’s Presidential Search in compliance with Board Policy, 201.0608 - Institutional Executive Officer/Commissioner of Higher Education Search Process.

2. SYSTEM ADMINISTRATION - INDIVIDUALS TO SERVE ON THE

MISSISSIPPI UNIVERSITY RESEARCH AUTHORITY (MURA) IN ACCORDANCE WITH THE MISSISSIPPI UNIVERSITY RESEARCH AUTHORITY ACT AND THE MURA BY-LAWS (INFORMATION ITEM) By virtue of the Act, the following are MURA Members: Vice President of the Board of Trustees – Mr. Scott Ross

Executive Director of the Mississippi Development Authority – Mr. Gray Swoop or his Designee President of the Mississippi Resource Development Corporation – Dr. Phil Pepper, IHL

Ex Officio- Commissioner of Higher Education – Dr. Thomas C. Meredith By virtue of the By-laws, the following are University MURA Members: Dr. Felix Okojie Vice President for Research and Federal Relations Jackson State University Dr. Kirk H. Schultz Interim Vice President for Research and Economic Development Mississippi State University Dr. Alice M. Clark Vice Chancellor for Research and Sponsored Programs The University of Mississippi Dr. Cecil Burge Vice President for Research and Economic Development The University of Southern Mississippi

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ADMINISTRATION/POLICY June 17-19, 2008

Page 2 of 2

Dr. Franklin Jackson Vice President for Institutional Advancement, Planning, and Research Alcorn State University President of Mississippi Education and Research Group (MERG) Appointments are effective July 1, 2008 through June 30, 2009.

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